Business

UBS expected to face huge fine from Britain

LONDON — UBS is expected to face a multimillion-dollar fine in connection with the $2.3 billion trading loss caused by a former trader, according to two people with direct knowledge of the matter.

The potential fine by British authorities against the Swiss bank may be $47 million to $80 million and could be announced as early as next week, according to one person, who spoke on the condition of anonymity.

Advertisement

On Tuesday, former UBS trader Kweku M. Adoboli received a seven-year jail sentence on two counts of fraud in connection with the loss for abusing his position at the Swiss bank from 2008 to 2011. Adoboli was found not guilty on another four counts of false accounting.

The Financial Services Authority, the British regulator, and the Swiss Financial Market Supervisory Authority opened a joint inquiry last year into the enormous trading loss. On behalf of the regulators, the accounting firm KPMG conducted a $20 million investigation into the internal failures at the Swiss bank that led to Adoboli’s trading loss.

Loading comments...
Real journalists. Real journalism. Subscribe to The Boston Globe today.
You're reading  1 of 5 free articles.
Get UNLIMITED access for only 99¢ per week Subscribe Now >
You're reading1 of 5 free articles.Keep scrolling to see more articles recomended for you Subscribe now
We hope you've enjoyed your 5 free articles.
Continue reading by subscribing to Globe.com for just 99¢.
 Already a member? Log in Home
Subscriber Log In

We hope you've enjoyed your 5 free articles'

Stay informed with unlimited access to Boston’s trusted news source.

  • High-quality journalism from the region’s largest newsroom
  • Convenient access across all of your devices
  • Today’s Headlines daily newsletter
  • Subscriber-only access to exclusive offers, events, contests, eBooks, and more
  • Less than 25¢ a week
Marketing image of BostonGlobe.com
Marketing image of BostonGlobe.com