Rogue trader costs UBS $2bn

[MC Prussian]

Kweku Adeboli, 31 years old. Ghanaian-born, living in a £1000 a-week flat in Shoreditch.

Lost UBS $2bn ($1.3bn) through unauthorized transactions on Tuesday.

http://www.telegraph.co.uk/finance/newsbysector/banksandfinance/8764363/City-rogue-trader-Kweku-Adoboli-arrested-over-2bn-UBS-loss.html

Sole wrongdoer, patsy or not? Discuss.

[Alexikokopops]

Where's Matt Allwright when you need him?

[jonthefox]

How the hell can £2bn worth of transactions go unauthorized ?.

UBS must of had some idea the monies being spent . Maybe he altered the 'books' to show a profit instead of loss (a la nick leeson) in which case UBS must shoulder a portion of the blame.

[James.]

http://www.thedailymash.co.uk/news/business/confusion-as-banker-arrested-for-losing-vast-amount-of-money-201109154312/

[Guest MattP]

Must have a Nigerian uncle with a few billion to cover it....

[MC Prussian]

UBS were once close to bankruptcy, but we were all kind enough to sponsor them a new live.

The Swiss state as well as the national bank bailed them out in the end.

The last quarterly result was roughly $1.25bn, so this loss is a hefty sum, even for a bank of the size of UBS.

The Investment Banking branch managed a profit of $1.6bn recently - over the course of three quarters.

So, in essence, what the division gains in one entire year has now been lost in a short period of time.

UBS's IB segment made losses of a total of approx. $60bn in the past four years.

What about separating the whole Investment Banking segment from banks?

And how come controls failed - surely someone must've known about this?

Where were the supervisors?

"Too big to fail" or "too dumb to fail"?

[One Arm Babba]

That is a lotta monies madam.

[FoxesAreBlue]

Where's Matt Allwright when you need him?