The Swiss bank has settled with the government of Mozambique over a 2 billion pound tuna bond fraud.
UBS and Mozambique governments have resolved their dispute over the tuna bonds inherited from Credit Suisse. Both parties have mutually released each other from any liabilities and claims related to loans and bond issues arranged for the country in 2013.
«The parties are pleased to have resolved this long-running dispute stemming from events occurring a decade ago,» UBS said in a statement.
Achieved on a Sunday
The settlement was achieved at the last minute on Sunday, 1 October 2023, before a trial was due to start in London on Monday, 2 October 2023. Mozambique had claimed ahead of a three-month trial that Credit Suisse and other defendants ignored the looting of hundreds of millions of dollars from the tuna bond loans in bribes and kickbacks
Although the matter with UBS is resolved, Mozambique is still suing Privinvest, the Gulf-based supplier of the boats and other kit under the deal. The African country government alleged the shipbuilder paid $136 million in bribes, as reported by the «Financial Times».
Claim to Privinvest
Privinvest has denied and it claimed to lawfully engage in business ventures with government officials. They also paid $10mn in campaign contributions to President Filipe Nyusi and the ruling party.
Mozambique’s tuna bonds were ostensibly to fund projects including a state tuna fishery. However, this plan later collapsed into default over the alleged looting of hundreds of millions of dollars.
