UBS has reached an immunity deal with European Union antitrust authorities that will spare the giant Swiss bank from further fines for manipulation of benchmark interest rates, according to people familiar with the matter.
The Wall Street Journal reports that under the arrangement, UBS is rewarded for cooperating with investigators and turning over information about other banks.
Barclays previously reached a similar deal with EU authorities. That means that two of Europe's largest banks, which are at the center of the interest-rate manipulation scandal, will escape punishment when EU authorities conclude their probe, which is expected within weeks although the timing could slip.
The EU is expected to conclude that a handful of banks broke EU laws forbidding cartels and collusive behavior and to levy fines of hundreds of millions of euros against each of them, these people said.
Hit the link below to access the complete Wall Street Journal article:
UBS to Avoid Fine In EU Libor Probe (subscriber content)
image: © thetaxhaven