FCA bans ex-UBS trader over £1.4bn loss

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The FCA has banned Kweku Adoboli, the former UBS trader who lost £1.4bn of the bank’s money, from financial services.

Adoboli was found guilty of two counts of fraud and jailed for seven years in November 2012.

The regulator says his conviction demonstrates a clear and serious lack of honesty and integrity.

In reaching its decision, the FCA says it “considered all the relevant circumstances and the severity of the risk posed by Adoboli to consumers and financial institutions, and to confidence in the market generally”.

Adoboli worked in UBS’ global synthetic equities division where he bought and sold exchange-traded funds.

The court was told he racked up losses through “unprotected, unhedged, incautious and reckless” trades.

In May 2014 the FCA banned former UBS trader John Hughes for failings related to the trading losses. Hughes was the most senior person on the desk on which Adoboli worked.