UBS has been ordered to pay $388 million to British and US regulators over Credit Suisse’s dealings with personal funding agency Archegos Capital Management, the Swiss financial institution mentioned Monday.
The settlement is the primary of a number of that UBS might need to pay after it final month closed its takeover of Credit Suisse, inheriting the collapsed financial institution’s authorized battles.
Under the settlement, UBS is to pay the Federal Reserve $268.5 million and the UK’s Prudential Regulation Authority $111.6 million (87 million kilos).
Reports forward of time had recommended the US regulator would impose a penalty of as much as $300 million and the UK regulator would high-quality UBS as much as 100 million kilos over the financial institution’s dealings with Archegos.
UBS on Monday mentioned it could tighten up operational and danger administration self-discipline at Credit Suisse after it accomplished its takeover of its smaller rival.
The financial institution additionally mentioned it meant to resolve Credit Suisse’s remaining litigation in “the very best curiosity of its stakeholders, together with traders, purchasers and workers.”