UBS to Review Options After Court Cuts Tax Fine to $2 Billion

(Bloomberg) -- UBS Group AG said it will review its options, including appeal, after a French judge cut by more than half a 4.5 billion-euro ($5.1 billion) penalty that the bank had received for helping wealthy French clients stash undeclared funds in Swiss accounts. 

The Zurich-based lender said it took note of the French court’s ruling and “will review the decision and consider all options, including appeal,” according to an emailed statement on Monday. 

The Paris court of appeals upheld a 2019 ruling that the bank had illegally laundered funds by providing customers with a range of services to hide assets from tax authorities. But the initial levy was reduced by more than half and includes 800 million euros in damages and a confiscation order of 1 billion euros.

Expectations that UBS would win a reduction on appeal peaked during the trial hearings after prosecutors conceded that recent guidance from France’s top court forced them to seek a lower fine, bringing the total penalty and damages sought to 3 billion euros.

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