Ex UBS trader Adoboli denies fraud, faces trial
By Peter Griffiths
LONDON (Reuters) - Former UBS trader Kweku Adoboli will stand trial in September after pleading not guilty on Monday to charges related to the loss of more than $2 billion on trades the Swiss bank says were unauthorized.
The trial, which is likely to shine a searching light on the adequacy of the bank's management and risk controls, could land Adoboli with a maximum 10-year jail sentence if convicted of the two counts of fraud and two of false accounting.
His lawyer Paul Garlick said Adoboli, who worked for the bank as a director of exchange traded funds in London, where the trial is being held, would try to win bail before it starts on September 3, nearly a year after his arrest.
The losses led to the resignation of UBS's former chief executive Oswald Gruebel and a shake-up of its investment arm to cut its exposure to risk.
Judge Alistair McCreath said the case was "of such magnitude" that there would have to be a long gap between the plea hearing and the start of the trial.
"An earlier trial would simply not be possible," he said.
Dressed in a grey suit and blue tie, Adoboli sat in the glass and wood-paneled dock at Southwark Crown Court, taking notes on a piece of paper. He thanked the judge before being led from the dock and back into custody at the end of the hearing.
Adoboli, the British-educated son of a retired United Nations official from Ghana, was arrested on September 15 and charged a day later. Continued...