France is prepared to prosecute UBS over tax evasion and money-laundering, after several failed attempts at settlements. Until now unyielding, CEO Sergo Ermotti is signaling that the Swiss bank wants to return to the negotiating table.
Zurich-based UBS is set to face French prosecutors this fall in Paris over aiding tax evasion and money-laundering. A most recent attempt to settle the long-running investigation foundered in March: France had demanded 1.1 billion euros. UBS, which has made clear that money isn't the deciding factor, was presumably not prepared to pay quite that much.
A trial and the prospect of being convicted poses a credible threat to UBS. French authorities might also levy a fine which exceeds ones posed on settlement talks.
But UBS hasn't given up entirely, it has emerged. UBS boss Sergio Ermotti told «Le Figaro» this weekend that UBS is still willing to reach an agreement with French authorities.
Willing – Under Conditions
«We are prepared to settle with justice officials,» Ermotti said – on condition that a settlement respects facts and law, and that a fine is in accordance with what UBS stands accused of as well as penalties levied by other countries.
He refers to similar cases such as a German probe that the Swiss bank settled nearly three years ago for 300 million euros. The comments highlight that UBS is keen to avoid the unfavorable attention that a public trial in Paris would bring, but also wants to save face.
