UBS has lost an appeal to throw out a lawsuit by an exiled Chinese businessman over an allegedly forced share sale by the Swiss bank’s London branch.
A London court of appeal has dismissed UBS’s latest attempt to throw out a $500 million lawsuit by exiled Chinese businessman Guo Wengui and his firm Ace Decade.
According to Guo, he and Ace Decade allegedly lost $500 million after UBS forced a sale of an indirect equity investment in Chinese brokerage Haitong Securities during a market downturn in July 2015.
London or Switzerland?
Last month, UBS argued in the appeal court that the lawsuit would only be valid in Switzerland despite involvement by the London branch. This argument was previously rejected by a lower court in 2022.
«The claims undoubtedly arose out of UBS London’s operations. UBS London significantly participated in the events which have given rise both to the claim and to the loss claimed,» according to a «Reuters» report citing a written ruling by judge Geoffrey Vos.
