Swiss bank UBS has announced it is cutting 10,000 jobs worldwide as it
tries to cut costs and slims down its investment banking activities.
The jobs will go over the next three years, and amount to 16% of its
current workforce of 64,000.
Meanwhile the trial of a former UBS trader Mr Adoboli continues in
London. Charged with fraud and false accounting at one stage he was in danger
of losing the bank nearly £7.4bn.
It was claimed that Mr Adoboli made false entries to make it seem as if
the money he was gambling had been balanced by money coming into the bank.
The trial once again highlights the basic
problems of extremely poor level of Management expertise/control whilst
furthermore illustrating the culture of greed which prevailed in the banking
community.
As the alleged fraud had been conducted over 3 years it begs the question
where the controls both were internally and externally i.e. the Auditors.
Before this
latest black hole was discovered at UBS you can be assured that the trader
responsible for this latest flame out was being lauded and applauded and the
only calculations which were being scrutinised by the Bank’s management was the
size of their forthcoming bonus payments.
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