UBS Is Closing Down Accounts

[DogPoundPup]

Source: WaPO

Swiss banking giant UBS, under investigation by the U.S. government for allegedly helping Americans hide money from the Internal Revenue Service, is closing thousands of accounts, putting clients at greater risk of being exposed, tax lawyers say.

UBS clients have been receiving calls and letters telling them that their Swiss accounts will soon be liquidated. Those who have concealed funds from the IRS have two basic choices: They can take new and potentially difficult steps to hide the money, heightening their risk of being caught and punished severely, or they can come clean, lawyers say.

The backdrop for UBS's action is that the U.S. government has been pressing UBS and the Swiss government to disclose the names of thousands of Americans with undeclared accounts, while the Swiss have vowed to uphold Swiss legal protections for bank clients.

However, as a practical matter, whether or not the Swiss formally give up the names, UBS's decision to close the accounts undermines Switzerland's legendary code of bank secrecy, lawyers said.

Read more: http://www.washingtonpost.com/wp-dyn/content/article/2008/11/14/AR2008111403559.html?hpid=topnews%3Cbr%3E

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From page two of article;

UBS announced in July that it was getting out of the business of offering Swiss accounts to American clients.

Some clients feel hung out to dry. "They're not happy," said lawyer Bryan C. Skarlatos of the firm Kostelanetz & Fink. "They feel like UBS is taking steps to protect itself."


Oh my, the irony eh? Who exactly is cheating who? :)