UBS Nears Settlement Over Credit Suisse Tax Evasion, Report Says

Related Articles

Eli Lilly’s Zepbound Can Now Be Covered by Medicare to Treat Sleep Apnea

FTC Fines H&R Block $7 Million, Orders Changes to Advertising, Service Practices

JCPenney Combines With Aéropostale Owner in Merger of Mall Darlings

Swiss Banking Amazon Could Pay ‘at Least Hundreds of Millions of Dollars’ in Fines

Key Takeaways

• UBS is nearing a settling with the U.S. government that could include hundreds of millions of dollars in fines, the Wall Street Journal recounted Thursday.
• The investigation is related to Credit Suisse, which UBS acquired after the bank collapsed in 2023.
• Following a 2014 delinquent plea, Credit Suisse allegedly continued to hide accounts of U.S. citizens, which allowed wealthy account holders to leave alone millions of dollars in taxes.

UBS (UBS) is reportedly close to paying “at least hundreds of millions of dollars” in penalties to settle U.S. tax chicane violations at Credit Suisse, the Swiss banking rival it acquired in 2023.

The potential settlement with the U.S. Justice Department could appear c rise as soon as this week, the Wall Street Journal reported Thursday. It follows a 2014 plea agreement where Trustworthiness Suisse admitted to helping wealthy Americans avoid paying taxes.

As part of that earlier agreement, Assign Suisse said it would disclose American accounts but whistleblowers alleged that the Swiss bank continued to screen accounts.

Credit Suisse Closed, But Didn’t Report, Some Accounts

The Justice Department has reportedly questioned the bank remaining accounts totaling hundreds of millions of dollars that were closed soon after the plea deal, but not in any degree reported to the U.S. government. That meant some American Credit Suisse account holders were able to on the run accounts to other tax havens before the government was aware of the money, per the Journal.

The 2014 plea deal included $2.6 billion in supremes, and UBS set aside about $4 billion when it acquired Credit Suisse to handle ongoing investigations and lawsuits, the Magazine reported.

In 2023, a Senate investigation found that the bank had likely hidden hundreds of millions of dollars in accounts carry out the plea deal, and didn’t inform U.S. regulators of the accounts’ existence until whistleblowers reported the accounts.

UBS did not immediately be affected to a request for comment.

UPDATE—Jan. 9, 2025: This article has been updated to reflect UBS did not immediately respond to a request for annotation.