UBS executives quit over scandal


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The Independent Online

UBS, the Swiss investment bank caught up in a rogue trader scandal at its London office, appointed a new head of global equities yesterday amid continuing bloodletting over the incident.

Carsten Kengeter, the chief executive of UBS's investment bank, has accepted the resignations of Francois Gouws and Yassine Bouhara, until now the co-heads of global equities, in the wake of the scandal, which saw the bank lose £1.5bn. MikeStewart, who joined UBS from Bank of America Merrill Lynch in July, will take sole charge of the division in their place.

UBS said last night that disciplinary investigations at the bank were ongoing, with a source saying further departures were likely. "It is clear that heads will role, but at the moment it isn't clear which ones," the source said.

The scandal, which has seen London-based trader Kweku Adoboli charged with fraud, has already prompted the departure of UBS chief executive Oswald Grübel, who left last month.

UBS revealed this week that the trading losses would not send it crashing to the third quarter losses it had at first feared.