Defendant Name:
UBS Financial Services Inc.
Defendant Type:
Subsidiary of Public Company
Public Company Parent:
UBS Group AG
SIC Code:
6021
CUSIP:
H4209710
Document Reference:
34-78958
Document Details
Legal Case Name
In the Matter of UBS Financial Services Inc.
Document Name
Order Instituting Administrative Proceedings Pursuant to Section 15(b)(4) of the Securities Exchange Act of 1934, Making Findings, and Imposing Remedial Sanctions
Document Date
28-Sep-2016
Document Format
Administrative Proceeding
Allegation Type
Broker Dealer
Document Summary
On September 28, 2016, the SEC issued a settled administrative proceeding against UBS Financial Services, Inc. According to the SEC: "During the period from 2011 through 2014 ('Relevant Period') UBS failed reasonably to supervise its personnel with a view toward preventing violations of the federal
securities laws. UBS, through its Capital Markets Structured Solutions unit (the 'Structured Solutions Desk'), failed to develop and implement policies and procedures reasonably designed to educate and train UBS registered representatives in connection with the Structured Solutions Desk’s single stock-linked reverse convertible notes ('RCNs') business so that they could adequately understand the risks and rewards of the product such that the registered representatives
could form a reasonable basis to make suitable recommendations to certain customers. Without
adequate education and training, certain registered representatives made unsuitable recommendations in relation to the offer and sale of these RCNs to certain customers in light of their investment profiles."
Disgorgement & Penalty Information
Resolutions
Censured
Remedial Sanctions
Cooperation Before the Resolution
Remedial Acts or Efforts Before the Resolution
Monetary Penalties:
Disgorgement
Individual:
$8,227,566.00
Shared:
Civil Penalty
Individual:
$6,000,000.00
Shared:
Pre-Judgment Interest
Individual:
$798,316.00
Shared:
