UBS to receive immunity from currency rigging fines

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UBS is poised to receive immunity from European Union currency-rigging fines after it was the first to approach regulators in the probe, according to a person with knowledge of the case.

Bloomberg reports that UBS, which avoided a $3.45bn penalty in the EU’s Libor probe, was again first to cooperate in the currency investigation, said the person, who declined to be identified because the process is confidential. The move is likely to spark a backlash from critics who say the bank has received enough forgiveness.

'To get off scot-free, I think, is not the right message to send', Arlene McCarthy, the lawmaker who led the EU’s work on creating criminal sanctions for bankers who rig benchmarks, said in an interview. 'I’m not in favour of the confessional approach not attracting any fines or sanctions'.

Authorities on three continents are investigating whether traders at some of the world’s largest banks sought to manipulate the WM/Reuters currency rates by working with dealers at other firms and timing trades to influence benchmarks and maximize profits. UBS, the largest Swiss bank, has suspended at least five foreign-exchange traders as part of its own probe.

To access the complete Bloomberg article hit the link below:

UBS Said Poised to Receive EU Immunity in Currency Rigging Probe

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