City of London police have charged UBS trader Kweku Adoboli with fraud in relation to the $2bn loss at the bank, and he has hired the same law firm which defended Barings bank rogue trader Nick Leeson to defend him.
Adoboli, who worked in UBS' investment bank on its Delta One desk, has been charged with fraud by abuse of position and false accounting, following his arrest in the early hours of Thursday morning.
He has hired lawyers at Kingsley Napley LLP in London to represent him, a spokeswoman for the law firm said today in a phone interview with Bloomberg.
The firm has previously advised former derivatives trader Nick Leeson, who caused the collapse of Barings Plc with $1.4bn in losses in 1995.
UBS said yesterday it had sustained an unauthorised loss totalling approximately $2bn. The bank said no client positions were affected but warned the trading could lead it to report a loss for the third quarter.
Adoboli was charged at lunchtime today. He remains in police custody and is due to appear at City of London Magistrates this afternoon.
"The City of London Police investigation is ongoing and officers continue to work in close collaboration with the FSA, SFO [Serious Fraud Office] and CPS [Crown Prosecution Office]," City of London Police said in a statement.
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