Morgan Stanley Head Fined and Suspended by CME, UBS Said Under Formal Investigation

CME Group has confirmed it fined Morgan Stanley's global head of rates on Friday over transactions in Treasury futures five years ago while he was employed by Goldman Sachs.

Reuters reports that Edward Hadden was fined $80,000 and will be barred from trading CME products for 10 days next month, according to a notice from the exchange operator.

Goldman Sachs was fined $875,000 for failing to supervise its employees.

The penalties stem from trades in December 2008, when Hadden amassed a large position in the December 2008 10-year Treasury futures contract.

In the meantime, the news agency also reports that UBS's French unit was put under formal investigation on Friday in Paris for alleged complicity in suspected illegal business practices in France, a judicial source said.

UBS France is being investigated by the French judiciary on whether it offered potential French clients investments that were allegedly designed to evade taxes.

Morgan Stanley head of rates fined, suspended by CME Group

UBS France put under formal investigation - judicial source

image: © Lisamarie Babik

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