UBS' long-awaited appeal of a criminal conviction over tax offenses is now scheduled to be heard nine months from now.
The outbreak of coronavirus put the kibosh on the Swiss wealth manager's appeal to a $5 billion criminal fine last February, which had been scheduled to begin this week. The French court on Tuesday disclosed the rescheduled date: sometime between March 8 and March 24, 2021, as Swiss newswire «AWP» (in German) reported.
The move means nine more months of uncertainty for UBS, which has been grappling with the criminal investigation since 2011. Outgoing CEO Sergio Ermotti had hoped to leave the firm unfettered of past problems when he ends his nine-year tenure and hands over to new CEO Ralph Hamers in five months' time.
Beefed Up, Shifted Strategy
The bank had beefed up its defense team, including with luminaries like German ex-finance minister Theo Waigel, and honed its argumentation from 2018's trial. The exit of Ermotti and the entrance of Hamers changes the dynamics for UBS, as finews.asia reported in April.
The appeal comes against the backdrop of the pandemic-sparked economic crisis, with higher volatility and more credit risks. As with a series of settlements with U.S. prosecutors, UBS in France is likely to set precedent for other Swiss banks like Credit Suisse, as finews.asia reported last year.
