Press Esc to close
Sunday 04 December 2016
News updated at 11:42 PM IST
Weather
Max: 26.9°C
Min : 18°C
In Bengaluru
Rain lightly

UBS CEO not resigning, loss mounts to USD 2.3 billion

Last updated: 19 September, 2011
Geneva, Sep 18, (AP):

Oswald Gruebel, the chief executive of UBS, has dismissed calls for his resignation as politically motivated, even as the Swiss banking giant raised its estimated loss by a rogue trader to USD 2.3 billion.

UBS AG had previously put the loss at USD 2 billion when news of the scandal first broke Thursday.

In a bid to reassure investors, the Zurich-based bank said today it has "now covered the risk resulting from the unauthorised trading" and its equities business "is again operating normally within its previously defined risk limits."

UBS also confirmed for the first time that the trader, 31-year-old Kweku Adoboli, was already under investigation by the bank when he revealed his actions to authorities Wednesday.

"The loss resulted from unauthorised speculative trading in various S&P 500, DAX, and EuroStoxx index futures over the last three months," UBS said, adding that the magnitude of the bank's risk exposure was hidden by fake trades.

Adoboli remains in custody in London, charged Friday with acts of fraud and false accounting dating back to 2008. His next court appearance is Thursday.

The fact that the fraud took place over three years raises serious questions about the bank's ability to manage its risk. UBS said it has set up a special committee chaired by David Sidwell, the bank's senior independent director, to investigate the incident.

Speaking for the first time since UBS revealed the loss, Gruebel told the Swiss weekly Der Sonntag that the loss couldn't have been prevented.


Go to Top

Photo Gallery
South Indian actress Priyamani poses infront of a replica of Rome's Trevi Fountain...

South Indian actress Priyamani poses infront of a replica of Rome's Trevi Fountain...

People take part in boat rally in Yamuna river to spread awareness about 'Namami Gange Project...

People take part in boat rally in Yamuna river to spread awareness about 'Namami Gange Project...

Delegates of the 6th Ministerial Conference of the Heart of Asia-Istanbul Process...

Delegates of the 6th Ministerial Conference of the Heart of Asia-Istanbul Process...

Dog lovers participated at the 38th & 39th All Breed Championship Dog Shows, organized by...

Dog lovers participated at the 38th & 39th All Breed Championship Dog Shows, organized by...

People take out a rally to protest against Union Carbide and Dow Chemicals on the 32nd anniversary..

People take out a rally to protest against Union Carbide and Dow Chemicals on the 32nd anniversary..

Sitar player and composer Anoushka Shankar performs during a concert in Chennai...

Sitar player and composer Anoushka Shankar performs during a concert in Chennai...

Bollywood actor John Abraham during the launch of Nissan GT-R, in Mumbai...

Bollywood actor John Abraham during the launch of Nissan GT-R, in Mumbai...

The sunset in Kalaburgi on Friday...

The sunset in Kalaburgi on Friday...

Cricketer Yuvraj Singh and Hazel Keech during their marriage with Hindu rituals in Goa...

Cricketer Yuvraj Singh and Hazel Keech during their marriage with Hindu rituals in Goa...

Protesters throwing stones on police and CRPF amid tear smoke during a clash after Friday...

Protesters throwing stones on police and CRPF amid tear smoke during a clash after Friday...

Copyright 2014, The Printers (Mysore) Private Ltd., 75, M.G Road, Post Box 5331, Bengaluru - 560001
Tel: +91 (80) 25880000 Fax No. +91 (80) 25880523