The biggest two Swiss Banks have each been fined $200 million (CHF199 million) as part of a large-scale US investigation into the failure to preserve electronic communications.
This content was published on
2 minutes
Reuters/dos
Español
es
Multa de 200 millones de dólares para UBS y Credit Suisse
The Securities and Exchange Commission (SECExternal link) and the Commodity Futures Trading Commission (CFTCExternal link) said in separate statements on Tuesday that they had fined 16 financial firms a combined total of $1.8 billion after staff had discussed deals on their personal devices and apps. Beyond the two Swiss banks, the groups involved include Barclays, Bank of America, Citigroup, Goldman Sachs, and Morgan Stanley.
More
More
UBS chief under pressure to deliver as markets turn
This content was published on
Troubles at rival bank Credit Suisse have over-shadowed UBS hiccups, such as the aborted acquisition of tech company Wealthfront.
Investigators said that from January 2018 to September 2021, the banks’ staff routinely communicated about business matters such as debt and equity deals with colleagues, clients, and other third party advisers using applications on personal devices such as text messages and WhatsApp.
The institutions did not preserve the majority of those personal chats, violating US rules which require brokers and financial institutions to keep records of business communications. That likely impeded the agencies’ ability to gather evidence in other, unrelated investigations, they said.
Trust issue
“Finance, ultimately, depends on trust. By failing to honor their recordkeeping and books-and-records obligations, the market participants we have charged today have failed to maintain that trust,” said Gary Gensler, the chair of the US Securities and Exchanges Commission.
“Today’s actions – both in terms of the firms involved and the size of the penalties ordered – underscore the importance of recordkeeping requirements: they’re sacrosanct. If there are allegations of wrongdoing or misconduct, we must be able to examine a firm’s books and records,” said Gurbir Grewal, Director of the SEC’s Division of Enforcement.
The institutions, which cooperated with the investigation, have begun implementing improvements to their compliance policies and procedures, the SEC said.
According to the Reuters news agency, a UBS spokesperson said the bank was pleased to have resolved the matter; Credit Suisse declined to comment.
Popular Stories
More
Life & Aging
Switzerland no longer wants to foot the bill for ‘suicide tourism’
As a Swiss Abroad, how do you feel about the emergence of more conservative family policies in some US states?
In recent years several US states have adopted more conservative policies on family issues, abortion and education. As a Swiss citizen living there, how do you view this development?
Swiss federal office sees no reason to end deportations of asylum-seekers to Croatia
This content was published on
Switzerland's State Secretariat for Migration (SEM) continues to deport asylum-seekers to Croatia. It thus rejects a demand from the Swiss Refugee Council in mid-February, which called for a halt to the returns.
ChatGPT responds to negative emotions and therapy, research shows
This content was published on
Stressful information can also cause anxiety in artificial intelligence (AI). As scientists in Zurich have shown, it's even possible to calm the GPT-4 AI model with mindfulness exercises.
Mortgage benchmark fall paves way for potential rent cuts in Switzerland
This content was published on
Switzerland’s national benchmark for mortgage costs dropped to the level it had before the global inflation surge, paving the way for potential rent reductions.
Switzerland ‘deeply concerned’ by Trump’s death penalty order
This content was published on
Switzerland has told the UN Human Rights Council that it is "deeply concerned" by US President Donald Trump's recent executive order to strengthen capital punishment at federal and state level.
Blatter, Platini return to court for new fraud trial over CHF2 million FIFA payment
This content was published on
Former FIFA President Sepp Blatter and former UEFA President Michel Platini appeared in court in Switzerland on Monday accused of fraud - 2.5 years after they were cleared.
Israel criticises Swiss decision to host Middle East conference in Geneva on Friday
This content was published on
Israel has condemned Switzerland for planning to host a meeting on international humanitarian law in the Middle East next Friday in Geneva.
Centre Party’s Franziska Biner elected to Valais government
This content was published on
Voters in canton Valais in southern Switzerland elected Franziska Biner to the cantonal government in the first round of voting, beating off more established politicians.
If you want to start a conversation about a topic raised in this article or want to report factual errors, email us at english@swissinfo.ch.
Read more
More
Swiss banks implicated in trading cartel investigation
This content was published on
The European Commission has wrapped up an investigation of five banks, including UBS and Credit Suisse, who colluded in a foreign exchange trading cartel.
Credit Suisse forced to address restructuring concerns
This content was published on
Troubled Swiss bank Credit Suisse seeks to quieten speculation about its upcoming strategic revamp following leaks to the media and staff concerns.
You can find an overview of ongoing debates with our journalists here . Please join us!
If you want to start a conversation about a topic raised in this article or want to report factual errors, email us at english@swissinfo.ch.