UK's FSA Could Fine And Ban Senior UBS Bankers In Rogue Trade Probe

Kweku Adoboli

Photo: AP Images

It’s been several months since the unexpected $2.3 billion loss at UBS believed to be caused by a lone rogue trader in the bank’s London office and now the U.K.’s Financial Services Authority has decided to launch a formal investigation, The Guardian reported.According to the report, the FSA could slap fines on senior level bankers and possibly ban them from the industry.  The senior staffers could also face the potential for public censure, the report said.

This news comes after the alleged rogue trader Kweku Adoboli, 31, pleaded not guilty earlier this week to four counts of fraud and false accounting.

Shortly after the massive trading loss was discovered, the Swiss bank’s CEO Oswald Grubel resigned from his post.

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