July 28, 2011
The regulator for Fannie Mae and Freddie Mac has sued UBS, accusing the Swiss bank of misleading the housing agencies into buying risky mortgage debt, resulting in more than $900 million in losses. The lawsuit by the Federal Housing Finance Agency is the latest effort by Washington to prop up the government-sponsored enterprises, whose September 2008 federal seizure has so far cost taxpayers more than $135 billion. The regulator said Wednesday that more lawsuits are planned to recover losses by Fannie Mae and Freddie Mac in private-label debt.
September 11, 2012 |
It pays to rat out your tax-dodging clients. A former banker who helped wealthy Americans illegally evade taxes, and later confessed his transgressions and cooperated with the government, has been awarded $104 million in what appears to be the largest-ever whistleblower case. Bradley Birkenfeld, a globe-trotting financier at Swiss banking giant UBS, helped rich Americans set up phony companies to conceal secret Swiss bank accounts. He gave them credit cards to access their hidden cash.
December 3, 2012 |
Another major bank is reportedly nearing a huge payout to settle government investigations into rigging of key interest rates. Swiss banking giant UBS is set to fork over more than $450 million to settle claims it manipulated the London Inter-bank Offered Rate, or Libor, according to the Wall Street Journal. The British bank Barclays agreed to pay $453 million to American and British authorities to settle similar charges earlier this year. The fallout included a major shakeup that saw the departures of the bank's chairman and chief executive.
July 22, 2013 |
WASHINGTON -- UBS said Monday it agreed to settle a lawsuit brought by U.S. regulators alleging the Swiss banking giant misrepresented mortgage-backed securities sold to Fannie Mae and Freddie Mac in the years leading up to the subprime-loan meltdown. UBS did not specify the size of the settlement with the Federal Housing Finance Agency, the regulator for Fannie and Freddie. But in a statement the bank said its second-quarter earnings would include a $746 million pretax charge for litigation matters related to its previous housing market activity.
October 30, 2012 |
Swiss bank UBS will cut 10,000 jobs as it exits from its fixed-income trading business and tries to cut costs and concentrate on wealth management. The Zurich, Switzerland-based institution, which stated that it is “significantly reshaping its investment bank,” said it will bring its head count to 54,000 by 2015 from 64,000 employees currently. Some 2,000 cuts will come from UBS front-office workers who deal directly with clients. In total, that's a 16% slice off the overall workforce.
July 31, 2012 |
The cost of Nasdaq's bungling of the Facebook IPO has shot up $357 million. Swiss banking giant UBS says it lost that much from the stock exchange's "gross mishandling" of the May 18 initial public offering, the largest ever for a U.S. technology company. In a sharply worded statement, UBS said it ultimately purchased "far more shares than our clients had ordered" because Nasdaq's trading system failed to confirm UBS traders' orders. "UBS's loss resulted from Nasdaq's multiple failures to carry out its obligations, including both opening the Facebook stock for trading and not halting trading in the stock during the day," UBS said.