UBS Financial Services, Inc. and its Puerto Rican divisions (UBS) continue to feel the heat in the Puerto Rico Bond crisis, as labor groups in the US territory call on its government to file a bond fraud claim against the bank. They are claiming that the financial firm “tricked” the Puerto Rican government into issuing products that they knew would fail.
Also, lawmakers from the New Progressive Party want the government to investigate UBS’ practices in Puerto Rico. Already Rep. Ricardo Llerandi Cruz is asking for a Capital Inquiry into the firm, while Rep. Ángel Muñoz Suárez announced he would file a bond fraud case with the Securities and Exchange Commission.
Meantime, Carlos Ubiñas, the CEO of UBS Puerto Rico, maintains that the firm is not accountable for “market events.” Issuing a statement, Ubiñas said that the loss in the Puerto Rico bonds’ value has more to do with the market and the lingering questions about the US Commonwealth’s credit.
Already, many investors are talking to Puerto Rico bond fraud lawyers about possibly filing securities fraud claims against UBS, Banco Santander (San.MC), Banco Popular, and other brokerage firms. Investors believe the bonds they purchased were not as stable and safe as brokers represented them to be and some customers say they suffered huge losses as a result.
The SSEK Partners Group is meeting with institutional investors on the mainland and in Puerto Rico who are exploring their options for legal recourse and to recover their lost investments. Please contact our Puerto Rico bond fraud attorneys today. Hablamos Español.
Puerto Rico’s bond losses hit local investors, Reuters, September 29, 2013
More Blog Posts:
Puerto Rico Municipal Bonds, Stockbroker Fraud Blog, October 9, 2013