8. UBS reaches large settlement with U.S. regulators to buy back securities

UBS reaches large settlement with U.S. regulators to buy back securities Bloomberg News, The Associated Press : UBS, the biggest Swiss bank, agreed Friday to buy back $19.4 billion of failed auction-rate securities and pay a $150 million fine, the biggest settlement yet over claims that banks misled investors to buy auction-rate securities UBS will repurchase the securities under a settlement with the state of Massachusetts and a group of regulators from states including New York, as well as the Securities and Exchange Commission, said Brian McNiff, a spokesman for the Massachusetts secretary of state, William Galvin. UBS follows two other banks in yielding to U.S. regulatory pressure to compensate investors. Citigroup agreed Thursday to buy back $7.3 billion of the securities and pay $100 million in fines as part of a... [read full story]