The Swiss bank is reportedly willing to stick by its CEO even if Dutch prosecutors levy criminal charges against him in a money laundering case at the bank he ran until last year, ING.
The unexpected reopening of a criminal investigation into UBS CEO Ralph Hamers puts the Swiss bank on the back foot: it desperately needs Hamers’ know-how to revitalize, but not with those plans effectively captive to the Dutch legal process, nor at the cost to its reputation, as finews.com reported last month.
UBS is leaning towards keeping him on even if prosecutors in the Netherlands levy criminal charges against Hamers, «Handelsblatt» (behind paywall, in German) reported on Wednesday, citing sources familiar with the bank's thinking.
Withstanding Distractions
The person told the German daily that UBS will take a stance that the Hamers investigation is arbitrary and that the Dutch activist behind it landed a fluke: «Some people like the idea of accusing CEOs of criminal conduct, even when there is no evidence of criminal wrong-doing. This is dangerous.» A spokesman for UBS didn't comment on the remarks.
UBS has repeatedly cited an outside evaluation of the money laundering scandal which gave Hamers the all-clear – the 54-year-old Dutch banker also passed Swiss fitness and probity testing for bankers. For UBS, the issue is not of Hamers himself, but whether UBS can withstand the distractions surrounding his leadership.
