Did UBS Turn Over To U.S. Information About Other Swiss Banks? (2/10/12)
We know from the Wegelin indictments that at least some U.S. depositors with UBS fled to Wegelin in the hope of keeping ahead -- and out of sight -- of the U.S. Those of us who practice in this area know that UBS customers also went to other banks with U.S. footprints -- and thus, it was thought, exposure lesser than UBS. Wegelin may have been the most aggressive in seeking those accounts. But there were others.
Recent reports have suggested that UBS may have alerted the U.S. to the Swiss banks into which the U.S. depositor money flowed. I post some of the articles below and readers try to sort out what UBS did and didn't do, or claims it didn't do.
I infer, for example, in among information that UBS did turn over to the U.S. would have been wire transfers out of UBS to other Swiss banks (as well as banks outside Switzerland) and the U.S. would have known of those other Swiss banks that way. Certainly, in this sense, at least as to the U.S. depositors that UBS disclosed, the U.S. became aware that money was moved to other Swiss banks.
I suspect that UBS is denying that it went beyond providing the account information -- i.e., it did not supply information outside the account information regarding the activities of its fellow Swiss banks and bankers. The U.S. mined a great deal of disclosure about the activities of the other Swiss banks in the voluntary disclosure program which required information about those activities and, in the egregious cases (i.e., the list of 11), the prosecutors have followed through for more detail.
Readers having more information or insight are encouraged to share by comment.
Katharina Bart, BS denies helping U.S. in tax probes of other banks (Reuters 2/9/11), here.
UBS provided US with data about rivals (swissinfo.ch 2/9/11), here.