* NOVEMBER 12, 2008, 4:19 P.M. ET
UBS Executive Charged in Tax Case
By EVAN PEREZ
Federal prosecutors charged a senior private banking executive at UBS AG with conspiring with fellow bankers and wealthy clients to defraud the U.S. government by evading taxes.
Raoul Weil, top global wealth management official with the Swiss banking giant, mandated his private bankers to hide assets belonging to about 20,000 U.S. clients from U.S. tax authorities, according to an indictment filed in U.S. District Court in Miami. The wealth-management business is a very profitable one for UBS.
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An attorney for Mr. Weil denied the U.S. charges. "Today's indictment is totally unjustified and without any factual basis. Mr. Weil denies any suggestion that he was aware of, engaged in or tolerated any illegal conduct in the operation of UBS's U.S.-cross-border business," said Aaron Marcu, in a statement. "We fully intend to fight this indictment and look forward to vindicating Mr. Weil's good name."
The UBS accounts hid about $20 billion in assets, according to the indictment. The bankers used numbered accounts and counter-surveillance techniques to evade notice by U.S. authorities.
"Every American who pays his or her taxes should be offended that a select few use anonymous offshore accounts to avoid paying their fair share," R. Alexander Acosta, U.S. Attorney in Miami, said.
U.S. authorities are negotiating with the Swiss government to gain access to the names of UBS's American clients, a move that could puncture centuries of secrecy surrounding Swiss banking.
Write to Evan Perez at evan.perez@wsj.com
http://online.wsj.com/article/SB122650872732121043.html?mod=testMod
UBS Executive Charged in Tax Case
By EVAN PEREZ
Federal prosecutors charged a senior private banking executive at UBS AG with conspiring with fellow bankers and wealthy clients to defraud the U.S. government by evading taxes.
Raoul Weil, top global wealth management official with the Swiss banking giant, mandated his private bankers to hide assets belonging to about 20,000 U.S. clients from U.S. tax authorities, according to an indictment filed in U.S. District Court in Miami. The wealth-management business is a very profitable one for UBS.
More
An attorney for Mr. Weil denied the U.S. charges. "Today's indictment is totally unjustified and without any factual basis. Mr. Weil denies any suggestion that he was aware of, engaged in or tolerated any illegal conduct in the operation of UBS's U.S.-cross-border business," said Aaron Marcu, in a statement. "We fully intend to fight this indictment and look forward to vindicating Mr. Weil's good name."
The UBS accounts hid about $20 billion in assets, according to the indictment. The bankers used numbered accounts and counter-surveillance techniques to evade notice by U.S. authorities.
"Every American who pays his or her taxes should be offended that a select few use anonymous offshore accounts to avoid paying their fair share," R. Alexander Acosta, U.S. Attorney in Miami, said.
U.S. authorities are negotiating with the Swiss government to gain access to the names of UBS's American clients, a move that could puncture centuries of secrecy surrounding Swiss banking.
Write to Evan Perez at evan.perez@wsj.com
http://online.wsj.com/article/SB122650872732121043.html?mod=testMod
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