Raoul Weil, chairman and CEO of the global wealth management division of UBS, has been indicted by a U.S. grand jury, charged with conspiring to help 20,000 wealthy Americans hide assets from the IRS.
Raoul Weil, chairman and chief executive of the global wealth management division of UBS AG of Zurich, Switzerland, has been indicted by a U.S. grand jury on a single charge of conspiring to help 20,000 wealthy Americans hide assets from the Internal Revenue Service, UBS confirmed today.
The indictment was handed up Nov. 6.
The bank has been under investigation for helping wealthy U.S. clients avoid taxes by hiding funds in Switzerland and Liechtenstein.
Former UBS banker Bradley Birkenfeld pleaded guilty to his role in the tax scheme in late May.
Mr. Weil and other UBS executives helped U.S. clients create false documents to hide their assets, prosecutors alleged.
He faces up to five years in prison and $250,000 in fines if convicted.
"Mr. Weil has determined that, in the interest of the firm and its clients, and in order to defend himself, he will relinquish his duties at this time pending the resolution of this matter," UBS said in a statement.
On an interim basis, Marten Hoekstra, currently deputy CEO of Global Wealth Management and Business Banking and head of Wealth Management U.S., will assume Mr. Weil's duties, the firm said.