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Violation Tracker Individual Record

Company: UBS
Current Parent CompanyUBS
Parent at the Time of the Penalty Announcement subscribe to see this data field
Penalty: $850,000
Year: 2023
Date: May 12, 2023
Offense Group: financial offenses
Primary Offense: banking violation
Violation Description: Attorney General Paxton and Normangee Independent School District announced a settlement with UBS in the amount of $850,000. The settlement resulted from the company's inability to underwrite Normangee ISD's bonds under the terms of a Texas law known as SB 13, which requires financial companies who contract with Texas governments to certify that they do not boycott energy companies. UBS certified that it does not boycott energy companies when it entered into a contract to underwrite $18.6 million in bonds to be issued by Normangee ISD. But the Texas Comptroller placed UBS and several other financial services firms on a list of energy boycotters in August 2022, and the Attorney General's Public Finance Division concurred in that determination, thus disapproving the underwriting contract with Normangee ISD. Through no fault of its own, Normangee ISD then had to re-bid the contract at a higher interest rate, causing it financial harm. Attorney General Paxton then negotiated the settlement with UBS on Normangee ISD's behalf.
Level of Government: state
Action Type: agency action
Agency: Texas Attorney General
Civil or Criminal Case: civil
Facility State: Texas
HQ Country of Current Parent: Switzerland
Ownership Structure of Current Parent: publicly traded
Major Industry of Current Parent: financial services
Specific Industry of Current Parent: banking & securities
Source of Data(click here)
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Current parent company note: Parent-subsidiary relationship is current as of the most recent revision listed in the Update Log.