Trader accused of losing UBS $2.3 billion pleads not guilty
By Richard Allen Greene, CNN
January 30, 2012 -- Updated 1359 GMT (2159 HKT)
Kweku Adoboli arrives at the City of London Magistrates Court on September 22, 2011.
STORY HIGHLIGHTS
- Kwaku Adoboli pleads not guilty and is scheduled for trial starting September 3
- He is "sorry beyond words" for the UBS loss, his lawyer said last year
- The $2.3 billion loss is potentially among the largest unauthorized trading losses ever
- The UBS investment banking division posted a loss after the incident
London (CNN) -- A trader accused of fraud over a $2.3 billion loss in unauthorized trading reported by Swiss banking giant UBS pleaded not guilty in a London court Monday.
The trader, Kwaku Adoboli, was ordered held in custody, and his trial was scheduled to begin September 3.
Adoboli faces a charge of fraud by abuse of position between January and September 2011, and he also faces two counts of false accounting.
His lawyer said he was "sorry beyond words" in a previous court appearance in September.
The loss would potentially be among the largest ever to a bank in unauthorized trading.
The trader was charged in September, a day after he was arrested in connection with the discovery of unauthorized deals at UBS.
Britain's Financial Services Authority, the Serious Fraud Office and the Crown Prosecution Service are also involved in investigating the case.
UBS said no client positions were affected by its $2.3 billion loss.
UBS posted a profit in the third quarter despite "the unauthorized trading incident," it said in its quarterly report, but its investment banking division recorded a loss of 650 million Swiss francs ($708 million).
UBS chief executive Oswald J. Gruebel resigned two days after Adoboli was charged, though bank chairman Kaspar Villiger said in a statement that the bank regretted Gruebel's decision.
Gruebel "feels that it is his duty to assume responsibility for the recent unauthorized trading incident. It is testimony to his uncompromising principles and integrity," Villiger said.
CNN's Theo Nikolaou contributed to this report.
Part of complete coverage on
May 22, 2012 -- Updated 2224 GMT (0624 HKT)
Ben Wedeman explains how much has changed since the last presidential election, but much remains the same.
May 22, 2012 -- Updated 1416 GMT (2216 HKT)
In Delhi, where there are more elephants than Mormons, Manu Joseph explores India's U.S. election-envy and why a Republican is better for India.
May 21, 2012 -- Updated 1635 GMT (0035 HKT)
The wheels are coming off the wagon, says Richard Quest -- and Greece's membership of the eurozone is untenable under the current conditions.
May 22, 2012 -- Updated 1428 GMT (2228 HKT)
Why some observers believe that the full story of who destroyed a Pan Am flight over Lockerbie has still to be uncovered.
Explore CNN's interactive to see where efforts to protect global areas of biological diversity have borne fruit.
May 23, 2012 -- Updated 1328 GMT (2128 HKT)
Banafsheh Keynoush says Tehran wants to be accepted by the United States as a regional player in the Middle East.
May 22, 2012 -- Updated 1517 GMT (2317 HKT)
For years the word "permatemp" has sent shivers down the spines of professionals around the world. Not any longer.
May 22, 2012 -- Updated 0957 GMT (1757 HKT)
David Frum explains how the euro financial crisis could impact people far beyond Europe
May 22, 2012 -- Updated 0911 GMT (1711 HKT)
Ten creative talents shaking up how the region is seen by the art world.
CNN looks at how Queen Elizaberth II, who marks her Diamond Jubilee this year, manages to fulfill a rigid calendar of ceremonial duties.
May 22, 2012 -- Updated 1035 GMT (1835 HKT)
Switching off your cellphone during a flight may soon be a thing of the past, according to aviation experts.
May 21, 2012 -- Updated 1042 GMT (1842 HKT)
What it's like to climb the world's tallest sand dunes, believed to be more than 60 million years old.
Today's five most popular stories
© 2012 Cable News Network. Turner Broadcasting System, Inc. All Rights Reserved.
|