UBS to settle guilty plea in Libor rate-rigging
About three dozen bankers and senior managers will be implicated in the alleged rigging of Libor interest rates when UBS settles with global regulators later this week, according to people familiar with the matter.
UBS is close to finalising a deal with UK, US and Swiss authorities in which the bank will pay close to $1.5bn and its Japanese securities subsidiary will plead guilty to a US criminal offence.
Terms of the guilty plea were still being negotiated, one person familiar with the matter said, adding that the bank would not lose its ability to conduct business in Japan.
The pact between the bank and the US Commodity Futures Trading Commission, US Department of Justice, UK Financial Service Authority and Finma, UBS’s main Swiss supervisor, is expected to be announced tomorrow.
The deal would make UBS the second bank after Barclays to admit misconduct in connection with the London interbank offered rate, which is used to price more than $350 trillion in contracts worldwide.