“We want to move forward and I think we’re showing our determination in the bank to move forward and to change the bank for good,” Ermotti said.
The bank didn’t qualify for the regulator’s standard 30 percent discount for cooperation because the settlement was reached later, the FSA said. UBS got a 20 percent discount.
UBS’s unit in Japan agreed to plead guilty to one count of wire fraud in relation to the manipulation of benchmark rates including yen Libor, the company said. UBS entered into a non- prosecution agreement with the U.S. Justice Department in relation to UBS AG and all its subsidiaries and affiliates except for UBS Securities Japan Co. Ltd.
One year ago, Japanese regulators penalized UBS’s Japanese operations, curtailing the bank’s ability to participate in the Tokyo interbank derivative market for a week, and ordering the bank to improve its regime of compliance and internal controls.
Ermotti said he doesn’t expect further sanctions from the Japanese regulator and that the bank is “confident” it will be able to continue to operate in Japan and globally as normal.
UBS was fined 29.7 million pounds last month by the FSA and told by the Swiss regulator it may have to increase capital levels for operational risks after a $2.3 billion loss from unauthorized trading by Kweku Adoboli. The former trader in UBS’s London office was sentenced to seven years in jail on Nov. 20 for fraud in relation to the loss, the largest from unauthorized trading in British history.