UBS tells employees to avoid travel to U.S. to prevent arrest

To reduce the chance of its employees being arrested in connection with tax evasion schemes, UBS has recommended that travel to the United States be curtailed.

Here is an excerpt from a report by Haig Simonian, UBS tells unit staff to avoid US visits, FT.com, May 27, 2008:

UBS has told members of its former private banking team responsible for rich US clients not to travel to America.

The Swiss bank has also made lawyers available to the more than 50 bankers involved, many of whom have left UBS since it decided last November to wind down its cross-border private banking business for US ­customers.

The move follows the recent indictment of one of the unit’s former senior executives, Bradley Birkenfeld, who US authorities have accused of helping a billionaire client evade taxes. Mr Birkenfeld has pleaded not guilty and his lawyers have made no public statement on the matter.

Special thanks to Joel Dobris (Professor of Law, UC Davis School of Law) for bringing this article to my attention.