The Bank said a fine imposed on it by the EU Commission in 2021 for participating in a bond trading cartel was too high. The Commission disagrees.
UBS on Friday criticized the method by which the European Union competition authorities calculated its antitrust fine of 172.4 million euros ($185 million) stemming from a 2021 ruling, saying it was based on inaccurate assumptions, according to a «Reuters» report.
Worldwide Penalties
The fine imposed on UBS in 2021 by the EU Commission was the largest for its part of operating within a cartel trading European government bonds between 2007 and 2011 during the European debt crisis.
In recent years Billions in fines have been handed down against the financial industry worldwide to various players for manipulating foreign exchange, the Euribor and Libor reference rates, and bonds.
UBS challenged the EU's decision in Europe's second-highest court.
Far Too High
UBS estimated the sum involved in calculating the fine should have been 89 million euros ($96 million), well below the 300 million euros used by the EU competition authority, UBS lawyer Christian Riis-Madsen told judges at a hearing.
«Because of this new methodology, the fine imposed on UBS was several times larger than it should have been,» he said.
The commission's lawyer, Thomas Franchoo, rejected the criticism, countering that «The fine needs to reflect the economic importance of the infringement and the relative contribution of each of the participating undertakings to that infringement.»
A ruling from the court is expected in the coming months.
