After two delays requested by Adoboli and a change of legal representation, Adoboli pleaded not guilty to two counts each of fraud and false accounting on 30 January He was released on conditional bail after a bail application at Southwark Crown Court on 8 June He was later convicted of both counts of fraud and sentenced to seven years imprisonment.
He appealed against both conviction and sentence. The loss to UBS was described as "manageable" although it might cause UBS to report a net loss in the following financial quarter. It has been reported that Adoboli informed UBS of his unauthorized trades, and then the bank informed the Financial Services Authority and the police.
The prosecutor in Adoboli's trial, Sasha Wass, stated that Adoboli "was a gamble or two from destroying Switzerland's largest bank for his own benefit. According to Business Insurance , as in the case of the unauthorized trades by Nick Leeson at the Singapore office of Barings Bank , the Adoboli incident took place at a location away from the bank's central office, where the risk management systems are typically stronger.
Kweku Adoboli was born 21 May He graduated from the University of Nottingham , where he studied computer science and management, in On the day of his son's arrest, he expressed the family's shock and disbelief: The family is heartbroken because fraud is not our way of life. 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 spoke of improved internal monitoring and deficiencies in the financial reporting control system that have been addressed. Ermotti also made reference to employees that have been replaced or had pay docked due to serious mistakes or unreasonable behaviour. In mid-November 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.