Finma Bans Six Former UBS Employees Over FX Rigging | Business News

Finma Bans Six Former UBS Employees Over FX Rigging

23 Dec 2015 | Author: | No comments yet »

Ex-UBS employees banned for illegal trading.

GENEVA (AP) — Switzerland’s market supervisor has banned six former managers and traders at UBS AG from working in the sector for up to five years, punishment for their involvement in the manipulation of currency markets.The Swiss Financial Market Supervisory Authority (Finma) announced the bans on Thursday following a year-long investigation of misconduct in foreign exchange and precious metals trading by 11 employees of Switzerland’s largest bank. Finma, which reached a settlement related to foreign exchange manipulation with UBS last year, said on Thursday it has banned two of the bank’s former foreign exchange managers from senior management positions at any institution under its supervision for between four and five years.

Enforcement proceedings found that six employees, no longer with the bank, “bore significant responsibility for serious organizational shortcomings and improper conduct at UBS,” Finma said in a news release. Proceedings against four employees were discontinued in August, although they received reprimands, while those against one other employee are continuing, the authority said. Finma said it found that those responsible at UBS “for the management of foreign exchange trading tolerated, and at times encouraged, behavior which was improper and against the interests of clients. “Although managers were aware that traders were able to use chat groups to share information and knew of the risks associated with this behavior, they failed to implement adequate systems and controls and to consistently monitor compliance with internal and external rules.” In last year’s settlement, UBS acknowledged that employees “at least attempted” to manipulate foreign-exchange rates, and agreed to give up the equivalent of about $139 million in profit, Finma said at that time. They additionally “deliberately triggered stop-loss orders and engaged in front running (the practice of executing personal orders while taking advantage of inside information not known to clients). Finma launched enforcement proceedings against the 11 individuals, who no longer work with UBS, in November 2012 after the authority penalized the bank 134 million francs.

Here you can write a commentary on the recording "Finma Bans Six Former UBS Employees Over FX Rigging".

* Required fields
All the reviews are moderated.
Twitter-news
Our partners
Follow us
Contact us
Our contacts

About this site