29/06/21

SWITZERLAND: UBS Suffers Setback in French Tax Case.

As published on finews.com, Tuesday 29 June, 2021.

UBS has suffered a setback in a French court case over tax evasion.

A French court Monday rejected a challenge by UBS to a case against it relating to tax evasion, Reuters reports.

The ruling means judges will decide on the bank's appeal against a 4.5-billion-euro ($5.4-billion) fine on September 27.

UBS was appealing against a 2019 ruling that it was guilty of soliciting clients illegally at sporting events and parties in France, and of laundering the proceeds of tax evasion.

The bank argued that it should never have been charged with laundering the proceeds of tax fraud, for which the penalties are more severe than for aiding and abetting tax fraud.

The penalties imposed on the bank in 2019 consisted of a 3.7-billion-euro fine and 800 million euros in civil damages.

At the appeal, prosecutors are seeking a fine of at least 2 billion euros, with lawyers for the French government saying they want 1 billion euros in damages and interest.