Swiss banks implicated in trading cartel investigation
The European Commission has ended an investigation of five banks, including UBS and Credit Suisse, who colluded in a foreign exchange spot trading cartel.
The total fines announced on Thursday came to €344 million (CHF359 million), with British bank HSBC taking the biggest hit of €174 million.
UBS, Switzerland’s biggest bank, escaped a potential fine of €94 million since it revealed the existence of the cartel, the Commission saidExternal link. Credit Suisse, the only one of the five banks not to cooperate with the procedure, enjoyed no leniency and took a penalty of €83.3 million.
The Commission said foreign exchange traders from the banks “exchanged sensitive information and trading plans, and occasionally coordinated their trading strategies through an online professional chatroom called Sterling Lads”. This enabled them to escape the inherent risks involved in currency trading. On occasion, one trader would even “stand down” in order not to interfere with the trading strategy of another.
Collusive behaviour
“The collusive behaviour of the five banks undermined the integrity of the financial sector at the expense of the European economy and consumers,” EU competition policy commissioner Margrethe Vestager said on Thursday. The fines “send a clear message that the Commission remains committed to ensure a sound and competitive financial sector”.
Swiss banks, meanwhile, are also on the receiving end in other recent and upcoming cases. Credit Suisse, after a scandal-hit year, was fined $475 million (CH439 million) in October to resolve bribery and fraud charges relating to the “tuna bonds” corruption scandal in Mozambique.
UBS is expecting to learn this month the outcome of its appeal in Paris of a record €3.7 billion fine for having solicited French tax evaders over a number of years and laundered the proceeds of the tax dodgers. The verdict is due on December 13.
This content was published on
A majority of Swiss citizens have open attitudes towards various infertility treatments, including even egg donation, which is currently prohibited.
Reports of Swiss cyber fraud almost doubled in six months
This content was published on
The head of the new Federal Office for Cybersecurity (FOC), Florian Schütz, has presented a new strategy after just over four months in office.
Ecological status of Swiss streams insufficient according to study
This content was published on
Pesticide use and obstructions of waterways have a particularly negative impact on sensitive organisms, completely absent in 70% of streams analysed.
Train line between Brig and Domodossola interrupted
This content was published on
One day after a derailment approximately 15 kilometres from the Swiss border, BLS is running buses for passengers between Preglia and Domodossola, in Italy.
Swiss football boss wants crackdown on individual hooligans
This content was published on
The head of the Swiss Football League says he prefers a harsher approach to individual hooligans rather than collective punishment measures affecting all fans.
Amherd: Council of Europe is ‘as urgently needed as ever’
This content was published on
The Swiss government emphasised on Sunday the vital role of the Strasbourg-based Council of Europe, 75 years after it was founded.
Credit Suisse punished for corruption and spy cases
This content was published on
The Swiss bank has been fined over CHF400 million for its role in a corruption scandal in Mozambique. It has also been rebuked over a recent corporate spy case.
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.