Court told of UBS "rogue trader" spread-betting losses

Mon Sep 17, 2012 4:24pm EDT
 
Email This Article |
Share This Article
  • Facebook
  • LinkedIn
  • Twitter
| Print This Article | Single Page
[-] Text [+]

(Advisory: Please note the story contains strong language in paragraph 28.)

By Estelle Shirbon

LONDON (Reuters) - Accused UBS "rogue trader" Kweku Adoboli lost 123,000 pounds ($200,000) on a spread-betting account in his last year at the Swiss bank even though he had been in trouble over personal trading and UBS had banned it, a British court heard on Monday.

The jury also heard that Adoboli, whose total 2010 income from his job at UBS's London office was 360,000 pounds, had made payments from his current account to advance pay-day loan companies Moneybox, Wageday Advance, Wonga.com and Payday UK.

Adoboli, 32, is on trial at London's Southwark Crown Court accused of fraud by abuse of position and false accounting that cost UBS UBSN.VX $2.3 billion - charges he denies. If convicted, he could face a maximum sentence of 10 years in jail.

Details of Adoboli's spread-betting and personal finances were read out to the jury as part of the "agreed facts" of the case, which do not need to be proven in court because the prosecution and the defense accept they are true.

The agreed facts also contained details of evidence seized by police after Adoboli was arrested at UBS offices at 3:30 a.m. on September 15, 2011.

That evidence includes an exchange of text messages on June 1, 2011, between Adoboli and a person named only as Rochan. The pair discussed Adoboli's day at work.

"Yeah, still at work," Adoboli was quoted as saying in one message. "Having to explain how we made so much money."   Continued...

 
Former UBS trader Kweku Adoboli arrives at Southwark Crown Court in London September 14, 2012. REUTERS/Neil Hall