Rate-riggers to face trial in USA December 19, 2012 SWISS bank UBS was yesterday hit with almost £1bn of fines for Libor fixing around the globe – a fine three times larger than the penalty paid by British bank Barclays in June. And the US authorities announced two former traders, including one Briton, have been charged with conspiracy and face extradition. Dozens of traders [...]
Diamond’s fall was less to do with Libor, more with image December 19, 2012 THOSE that care about such things have long suspected that the Barclays management led by Bob Diamond achieved little for themselves by being the first to settle allegations earlier this year that the bank manipulated a key interest rate. By doing so, they may have done well for their shareholders by agreeing a less costly [...]
No more heads to roll at UBS for key rate fiddling December 19, 2012 UBS chief executive Sergio Ermotti yesterday led the charge to rehabilitate the bank’s image, insisting major changes have already been made to make sure Libor fiddling can never happen again. The fine comes after a series of blows shaking up the bank, from rogue trader Kweku Adoboli losing £1.4bn to the bank deciding to wind [...]
Banking shares rise on FTSE 100 as UBS fined $1.5bn December 19, 2012 The blue chip index moved towards nine-month highs this morning, as optimism of a US budget deal boosted the FTSE 100. Financial shares were in the spotlight, as Swiss bank UBS agreed a $1.5bn (£940m) fine for manipulating the Libor benchmark. The redress was in line with expectations, and UBS shares were trading around 0.3 [...]
UBS hit with £940m fine for Libor-rigging December 19, 2012 Swiss bank UBS has been hit with a CHF1.4bn (£943m) fine to resolve Libor rigging allegations. The penalty agreed with US, UK and Swiss regulators is more than three times the $450m (£277m) fine levied on Barclays in June, also for rigging the Libor benchmark rate used to price financial contracts around the globe. UBS [...]
What the other papers say this morning December 18, 2012 FINANCIAL TIMES Greek bet pays off for hedge fund One of the world’s most prominent hedge funds is sitting on a $500m (£308m) profit after making a bet that Greece would not be forced to leave the Eurozone, bucking the trend in a difficult year for the industry. Third Point, headed by the billionaire US [...]
No rebound from finance cuts, says S&P December 18, 2012 INVESTMENT banks will not bounce back from the deep cuts in staff and the closure of some operating units, credit ratings agency Standard and Poor’s warned yesterday, arguing tough new regulations are forcing a permanent strict cap on costs. Banks typically cut back staff in lean years and increase hiring when times improve. But this [...]
US fiscal cliff hopes lift FTSE 100 December 18, 2012 The markets were cheered this morning – the headline share index rose 0.25 per cent in early deals – on signs of progress in negotiations to avoid the imminent fiscal cliff in the US. Investors reacted positively to Obama’s counter-offer for Republicans yesterday, which included a major change in position on tax hikes for the [...]
Ritz accused of paying no corporation tax in 17 years December 17, 2012 The Ritz hotel has not paid corporation tax since 1995 thanks to its use of legal loopholes, according to last night’s episode of the BBC’s Panorama programme. The landmark building is owned by an offshore trust set up by the Monaco-based Barclay brothers, who yesterday said they do not have any direct involvement in the [...]
Aggreko fails to light up FTSE 100 December 17, 2012 Temporary power solutions provider Aggreko weighed heavily on the blue chip index in early trading, sinking more than 17 per cent. This morning it warned of a slowdown in 2013, following a strong current year of trading. Paul Jones, analyst at Panmure Gordon, said this morning that 2013 has “stronger headwinds than expected, and previous [...]