UBS may face US suits if parliament kills deal-Swiss min

* UBS may face long civil, criminal cases in U.S.- fin min

* Swiss parliament to vote on UBS deal in June

* Too early to return UBS toxic asset fund-fin min

ZURICH, May 16 (BestGrowthStock) – UBS (UBSN.VX: ) (UBS: )N> could face
lawsuits in the United States if the Swiss parliament fails to
agree to a deal passing data on the bank’s U.S. clients to U.S.
tax authorities, Switzerland’s finance minister said.

Hans-Rudolf Merz told the newspaper SonntagsBlick he hoped
parliament, which will vote on the measure in June, would
approve the agreement, though he could not be sure.

“The justice and finance departments of the U.S.
administration signalled to us that they’d again take up the
legal cases against UBS, which are now suspended,” Merz was
quoted as saying.

“These criminal and civil suits could take a long time.”

Merz also said it was as yet too early to return to UBS,
which was bailed out by the government, a toxic asset fund now
held by the central bank.

Berne agreed in August to hand over to U.S. tax officials
the names of 4,450 tax evaders holding secret accounts with UBS,
piercing a hole in the country’s bank secrecy laws.

But a Swiss administrative court ruling in January blocked
the data transfer, forcing the Swiss government to adjust the
settlement, which needs parliament’s approval to become

The ultra-nationalist SVP, the country’s largest party, has
already said it will vote against the UBS deal. It could kill
the deal if joined by the Social Democrats, the country’s
second-largest political force.

Merz and Economy Minister Doris Leuthard have both said
there is no backup plan if parliament shoots down the UBS deal,
and Switzerland must hand over the data by August.

The Social Democrats have said they will agree to it only if
the government gives definitive guarantees on new bills for
making make bankers’ bonuses less tax friendly and other
measures. [ID:nLDE63R118]

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UBS may face US suits if parliament kills deal-Swiss min