Deutsche Bank and UBS Guilty of Fraud, Morgan Stanley Gets FB Penalty: Weekly Financial Biz Recap

  Google+  Twitter | + More Articles
  • Like on Facebook
  • Share on Google+
  • Share on LinkedIn

Here’s your Cheat Sheet to this week’s financial industry business headlines:

Are these stocks a buy or sell? Let us help you decide. Check out our Wall St. Cheat Sheet Stock Picker Newsletter now >>

On Monday, Sun Life Financial (NYSE:SLF) said that Delaware Life Holdings, which is owned by shareholders of Guggenheim Partners, will acquire Sun Life’s domestic annuity unit and certain life insurance divisions for a base price of $1.35 billion as adjusted to reflect the performance of the unit through closing.

UBS (NYSE:UBS) is likely to have to pay a fine of 1.5 billion Swiss francs or $1.63 billion to resolve interest rate rigging charges according to sources on Saturday to Tages-Anzeiger, saying that the bank would concede that 36 traders worldwide manipulated yen Libor between the years 2005 and 2010.  A settlement in the amount of 1.5 billion francs would represent the largest ever paid by UBS which is recovering from a $2.3-billion trading fraud by London-based trader Kweku Adoboli for which it was fined $48.36 million in November. This resolution would make UBS the second big bank to be sanctioned for its activities in the Libor scandal as the United Kingdom’s Barclays (NYSE:BCS) paid a $450 million fine in June.

JPMorgan Securities (NYSE:JPM) and Bear Stearns & Co were sued Monday by the National Credit Union Administration due to  alleged misconduct in the sale of $3.6 billion in mortgage securities to credit unions which subsequently collapsed on losses from the securities. More specifically, the suit claims that Bear Stearns made misrepresentations linked with the underwriting and following sale of mortgage-backed securities to Western Corporate, U.S. Central, Southwest Corporate and Members United Corporate federal credit unions.

More Articles About:

To contact the reporter on this story: staff.writers@wallstcheatsheet.com To contact the editor responsible for this story: editors@wallstcheatsheet.com

Yahoo Finance, Harvard Business Review, Market Watch, The Wall St. Journal, Financial Times, CNN Money, Fox Business