Swiss bank UBS said that a rogue trader may have cost the bank up to $2 billion in losses. Following the discovery, a UBS statement said, “UBS has discovered a loss due to unauthorized trading by a trader in its Investment Bank. The matter is still being investigated, but UBS's current estimate of the loss on the trades is in the range of USD 2 billion. It is possible that this could lead UBS to report a loss for the third quarter of 2011. No client positions were affected.”
Police in London arrested a 31-year-old UBS trader, Kweku Adoboli, in the alleged fraud.
