UBS has conditional immunity from Competition Bureau for Libor probe

UBS has been granted conditional immunity from the Canadian Competition Bureau, according to its 2011 annual report. The statement was reproduced in the Canadian Competition & Regulatory Law blog:

The Canadian Competition Bureau has granted UBS conditional immunity in connection with potential competition law violations related to submissions for Yen LIBOR. As a result of these conditional grants, we will not be subject to prosecutions, fines or other sanctions for antitrust or competition law violations in the jurisdictions where we have conditional immunity or leniency in connection with the matters we reported to those authorities, subject to our continuing cooperation. However, the conditional leniency and conditional immunity grants we have received do not bar government agencies from asserting other claims against us. In addition, as a result of the conditional leniency agreement with the DOJ, we are eligible for a limit on liability to actual rather than treble damages were damages to be awarded in any civil antitrust action under US law based on conduct covered by the agreement and for relief from potential joint-and-several liability in connection with such civil antitrust action, subject to our satisfying the DOJ and the court presiding over the civil litigation of our cooperation. The conditional leniency and conditional immunity grants do not otherwise affect the ability of private parties to assert civil claims against us.

The leniency is connected to the watchdog’s current probe of Yen Libor manipulation. UBS has already been granted conditional leniency from the U.S. DOJ and the Swiss Competition Commission.

Full content: Bloomberg

Related content: How Far Can Screens Go in Distinguishing Explicit from Tacit Collusion? New Evidence on the Libor Setting (Rosa Abrantes-Metz, Global Economics Group, NYU Stern School of Business & Albert Metz, Moody’s Investor Service)