LONDON (IT BOLTWISE) – After a decade-long legal battle, former trader Tom Hayes has successfully challenged his conviction for interest rate manipulation. He is now suing his former employer UBS for $400 million in damages. Hayes claims he was used as a scapegoat for the bank’s Libor manipulations in order to avoid higher penalties for the company.
Today’s daily deals at Amazon! ˗ˋˏ$ˎˊ˗
Former trader Tom Hayes has had his conviction for interest rate manipulation overturned by the British Supreme Court after a lengthy legal battle. He has now filed a lawsuit against his former employer UBS, demanding $400 million in damages. Hayes claims that the bank deliberately chose him as a scapegoat for the Libor manipulations in order to protect its own executives and minimize regulatory penalties.
The lawsuit, filed in a US court, accuses UBS of conducting a flawed investigation to shift blame to Hayes. According to the lawsuit, the bank controlled the investigation into its own wrongdoing and intentionally provided misleading information to incriminate Hayes. These allegations come at a time when the role of banks in manipulating interest rates during the 2008 financial crisis has come into renewed focus.
Hayes was the first banker to be jailed for Libor manipulation in 2015. However, his conviction was overturned in July this year after the Supreme Court found the trial was unfair. The court’s decision raises questions about the judiciary’s ability to correct past wrongful convictions, particularly in complex financial cases.
The Libor manipulations that came to light in 2012 involved artificially inflating or lowering interest rates to maximize trading profits or hide financial difficulties. These practices contributed to the instability of the global financial system, which was already shaken by the 2008 financial crisis. The crisis led to the collapse of the US investment bank Lehman Brothers and triggered recessions worldwide.
Hayes hopes his lawsuit will not only seek justice for himself, but also serve as a deterrent to banks that might consider similar practices in the future. He plans to donate part of the hoped-for compensation to organizations that work to investigate miscarriages of justice.
*Order an Amazon credit card with no annual fee with a credit limit of 2,000 euros! a‿z
Bestseller No. 1 ᵃ⤻ᶻ “KI Gadgets”
Bestseller No. 2 ᵃ⤻ᶻ “KI Gadgets”
Bestseller No. 3 ᵃ⤻ᶻ “KI Gadgets”
Bestseller No. 4 ᵃ⤻ᶻ «KI Gadgets»
Bestseller No. 5 ᵃ⤻ᶻ “KI Gadgets”
Please send any additions and information to the editorial team by email to de-info[at]it-boltwise.de. Since we cannot rule out AI hallucinations, which rarely occur with AI-generated news and content, we ask you to contact us via email and inform us in the event of false statements or misinformation. Please don’t forget to include the article headline in the email: “Ex-trader sues UBS for damages after acquittal”.
The post Ex-trader sues UBS for damages after acquittal appeared first on Veritas News.
