Issue 04
UBS CHAIRMAN CALLS UBS ILLEGAL CROSS BORDER BANKING "TOXIC WASTE"
Public Record reports: "Weil (UBS USA Chairman), who turned 49 on the same day he was indicted, referred to the bank’s cross-border private banking business as ‘toxic waste’ because [Weil and the un-indicted co-conspirators] knew that it was not being conducted in a manner that complied with United States law."D1 I4 During this time UBS unilaterally created secret offshore UBS AG accounts in a Florida senior citizen Client’s name and allegedly siphoned Client assets. We see a Florida senior citizen subjected to a UBS cross-border (offshore) transfer alleged siphoning of his UBS accounts without his knowledge. We also see UBS AG and its UBS USA subsidiary allegedly lie about it.
DOES CEO HOEKSTRA WANT TO PEDDLE MORE US DERIVATIVES AND TOXIC WASTE SUBPRIMES TO UBS WORLD CLIENTS?
CEO Hoekstra in an interview with Registered Rep says: “We're the largest provider of hedge funds in the world, but in the United States we're not No. 1. And so we're basically taking a lot of the structures, relationships and hedge fund managers, most of whom are American anyway, and then offering them now into our U.S. wealth management business.” D2 It seems UBS wants to inflict more abuse upon investors and clients. CEO Hoekstra and his UBS cronies just do not get it that their victims are wise to their ways.
SWISS GOVERNMENT (TAXPAYER) BUYS UBS US TOXIC WASTE INVESTMENTS
Financial Times reports: “Last month’s SFr6bn ($5.2bn) investment in the bank by the Swiss government, and a deal to transfer toxic assets to Switzerland’s central bank, have improved sentiment. However, Mr Cryan (UBS CFO) said that if such confidence – reflected in higher values for UBS’s debt – persisted, the bank could be obliged to take a significant charge under accounting rules requiring companies to reflect the value of repurchasing their own debt in their accounts.” D3 The Swiss taxpayer joins UBS investors as victims of UBS failed banking. The Swiss have become the world chumps for allowing UBS to intimidate their government officials.
UBS IN COURT FOR CLIENT SALES DECEPTION
Investment News reports: “After the market for auction-rate securities froze this year, many wealthy UBS clients who own the securities were angered to learn that the paper they were holding wasn't, in fact, the equivalent of cash. In March, UBS was hit with a class-action alleging that it had deceived investors by selling the securities as highly liquid and a "suitable alternatives to money market funds." D4 It seems UBS has been peddling securities under false pretenses and now has to answer to legal discovery of client victims.
Marten Hoekstra
HOEKSTRA BECOMES CHAIRMAN ON DAY WEIL INDICTED BY US
On 12 November 2008, Marten Hoekstra assumed the duties of Raoul Weil, as UBS USA Chairman. Raoul Weil is now a fugitive from US Federal justice. Hoekstra was appointed Deputy CEO Global Wealth Management & Business Banking in November 2007. He held various roles with PaineWebber before being purchased by UBS, including that of financial advisor.
CEO HOEKSTRA ALLEGED UBS CRIMINAL BEHAVIOR A MISSTEP
Investment News reports: “Dealing with the auction-rate securities situation has been ‘very difficult’ for both clients and UBS advisers, Mr. Hoekstra said … Missteps with the funds and securities have put the most valuable — and vulnerable — UBS' assets at risk: their reputations.” D5 UBS CEO Hoekstra continues to use light and fluffy words like difficult and misstep to explain alleged criminal behavior as well as its ramifications.
UBS CEO HOEKSTRA IS READY TO POACH CLIENTS AND ADVISORS FROM OTHER FIRMS
Investment News reports: “Mr. Hoeksta hinted that UBS was ready to pounce on disaffected advisers and clients from other firms. The bank hired 119 financial advisers from competitors in the first three months of the year, according to a bank spokesman, 17 more than were hired in the first quarter last year. ‘Financial advisers in the industry are on their heels,’ he said. ‘We want to take advantage of that by being proactive.’ " D6 It is astounding that UBS admits it will conduct questionable conduct in international banking.
UBS COMPLICIT IN THEFT OF BANK AMERICA PROPRIETARY INFORMATION!
Wikipedia reports: “Bank of America sued five people who left its asset and mortgage backed securities groups for UBS, alleging that the five conspired to steal trade secrets, proprietary software and clients from Bank of America. Bank of America filed a lawsuit for US$ 20 million.” D7 Corporate theft is considered a serious offense within the US. Competitors have been known to gang up on the violator and force them out of business.
CEO HOEKSTRA BECOMES FOLKSY TALKING TO 1 CLIENT INSTEAD OF PROSECUTORS
Investment News reports: “Mr. Hoekstra acknowledged that clients have become concerned about developments at the bank, especially after the Bear Stearns deal. As a result, wealth management executives have been reaching out to clients, including participating in ‘dozens’ of presentations across the country. ‘Client contact is what's most important,’ Mr. Hoekstra said. ‘I just spoke to a client directly, and all our managers are doing it. Financial advisers are identifying clients who may be at risk.’ Mr. Hoekstra said.” D8 This is a common ploy of US politicians where they create media opportunities talking to the “man on the street” for common appeal. In Hoekstra’s case it seems he is running scared and is attempting to appeal to the disenchanted clients.
CEO HOEKSTRA COMMENTS UPON UBS PEDDLING QUESIONABLE SECURITIES TO UNKNOWING CLIENTS
Independent Bangladesh reports: “Massachusetts regulators said the Swiss bank had also agreed to pay civil fines totaling 150 million dollars as part of a pact with state authorities. … Hoekstra said UBS would be the first bank to make all its clients "whole." The bank has denied any wrongdoing. At the heart of regulators' probes is the question of how the banks marketed the securities to investors. Some investors have claimed that the banks misrepresented how quickly the securities could be redeemed if an investor decided to cash them in. US banks and UBS marketed billions of dollars' worth of the complex securities in recent years … They provided a rich business for many banks prior to the market's collapse in February which left panicked investors scrambling to redeem their holdings and nursing paper losses.” D9 CEO Hoekstra and his UBS cronies seem to be in denial of their dubious behavior. They are continuing a pattern some think is criminal in nature, especially Federal prosecutors in Miami and Brazil.
CEO HOEKSTRA TARGET'S ULTRA RICH BABY BOOMERS FOR UBS “PERFECTION EXPERIENCE”
Reuters reports: “ ‘There is an aging issue. In the United States people add on financial service providers and then when they reach their late 50s they consolidate,’ Hoekstra told a conference on UBS's global wealth-management business. ‘We are investing to create perfection of the client's experience,’ he added, saying that this segment of the affluent population was estimated to have up to 20 percent of global wealth. Hoekstra said UBS was particularly interested in going after so-called ultra-high net worth individuals -- those with millions of dollars to invest, whose wealth is growing faster than other segments.” D10 It is truly astounding that CEO Hoekstra is talking in esoteric terms while investors and clients start committing suicide because of questionable behavior by his UBS cronies at the top.
CEO HOEKSTRA SELLS HIS UBS STOCK
Morningstar reports: “UBS AG (UBS) said Wednesday Marten Hoekstra, the head of its U.S.-based brokerage and private banking arm, sold shares for $757,456.50 recently.” D11 This should be alarming to UBS investors. CEO Hoekstra’s dumping of UBS stock could be noted as a no-confidence in UBS. What is also alarming is that it was picked up by financial media throughout the world.
MULTI-MILLIONARE THROWS HIMSELF IN FRONT OF A TRAIN AFTER UBS STOCK INVESTEMENT!
BBCNews reports: “A wealthy financier killed himself because he was worried about losing money … chief operating officer of private equity firm Olivant … had bought a 2.5 per cent share of Swiss banking giant UBS … Mrs Stephenson said her husband was facing significant financial loss. These were very real worries. These events made a substantial impact on him, and on his fearfulness for his financial welfare.” D12 We expect to see more suicides of UBS clients, investors and employees as the world economy gets worse. Unfortunately, it will most probably be the UBS victims rather than the UBS perpetrators that will be killing themselves.
Letters to the Editor:
Dear Sir:
I am a broker with a competing firm to UBS. My colleagues and I have known for some time about predatory practices of UBS but we have not been able to substantiate it for our Customers for fear they would consider us name callers. We now only have to point them to your site. We will spread the word and give you more info on UBS. We will drive them back to their numbered accounts in Switzerland.
NYC broker
Editor:
How has the Bush and Clinton Administrations allowed this to happen? Has there been some sort of payback? Why does UBS have a “get out of jail free” card? Does UBS secretly give to presidential libraries?
Paul from Newport Beach, CA
Dear Readership:
We expect a nuisance lawsuit from UBS but this will just further exacerbate their problems. Media and competitors are just waiting for them to pull a quick fix stunt in the US courts. They got assistance from Bush administration political operatives but it will fall on deaf ears with President Obama, hopefully. They will not be able to stand transparency in a US court of law. Not after what they continue to do to UBS employees, clients and US taxpayers. Journalist defense groups are already in place.
UBS is the largest bank in Switzerland and as such could be “too big to fail”, mimicking Washington parlance. Has UBS USA become to “New Yorky” for the Swiss. We believe it has. When it looses it goes sucking on the Swiss government tit for bailout sustenance. When UBS hierarchy make dumb decisions they call it an “act of God” for which they are not to be blamed.
Director@internalrevenue.com