Banks need to prioritize morality

By Wire services | December 20, 2012 | Last updated on December 20, 2012
1 min read

UBS is currently in a dismal position, as it pays out $1.5 billion to regulators to Libor-fixing allegations.

The fine—being paid to authorities in the U.S., Britain and Switzerland—comes just over a week after HSBC PLC agreed to pay nearly $2 billion for alleged money laundering.

Read: UBS agrees to $1.5 billion LIBOR fine

Financial Times says, “The penalty may prove to be the biggest fine levied on banks that harboured a corrupt network of traders on three continents.”

As a result, it expects banks may now manage regulatory risks more rigorously since monetary penalties are getting harder to write off as the costs of business.

It adds the financial industry should become smaller and more ethical after the wave of misconduct committed in recent years.

Read more on banks need to clean up their act.

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Wire services