Ubs to Pay $6.6 Million for Violating Florida Law
Florida orders UBS to pay $6.6 million for violating state law in the marketing and sales of auction rate securities (ARS). UBS marketed the ARS as being safe, cash like and highly liquid. Investors were not properly apprised of the risks involved and when the auctions froze in February 2008, investors were unable to have access to their funds. In a settlement with the SEC, UBS agreed to restore $22 billion in liquidity to its customers.