[9] On 15 September 2011, Adoboli was arrested under suspicion of fraud in connection with a loss of a then-estimated US$2 billion, reportedly due to unauthorized trading at the Swiss group's investment bank.
[17] On 16 September, it was announced that City of London Police charged Adoboli with fraud by abuse of position and false accounting.
[18] On 18 September 2011, UBS issued a statement which revealed the losses from the alleged unauthorized trading stood at $2.3 billion.
[24] According to the Daily Telegraph, shortly before the news of the incident broke, Adoboli had posted on his Facebook account that "I need a miracle".
[27] According to the Financial Times, and other sources, Adoboli is suspected to have used the fact that some ETF transactions in Europe are not issued confirmations until after settlement has taken place.
Ermotti also made reference to employees that have been replaced or had pay docked due to serious mistakes or unreasonable behaviour.
[34] Ten days later the co-heads of Global Equities at UBS, Francois Gouws and Yassine Bouhara, also resigned.
[25] In mid-November 2011 UBS announced that it would cut back half of the risk-weighted assets in its investment bank over the next five years to reduce risk exposure in the wake of the trading scandal.
[35] In June 2012 UBS announced that their ongoing investigation has resolved the weaknesses that made this unauthorized trading possible.
Along with their auditors, Ernst & Young Ltd., UBS aim to confirm this with internal control of financial reporting in December 2012.