UBS AG (UBS)

[Mechatronical]

Is UBSS complicit in OTC naked shorting?

For the last couple of weeks UBSS has been sitting on GOSY's ask with 2,000,000 shares at $.0037 or less.

The purpose of that ask ceiling is to prevent GOSY's pps from moving up and forcing a massive naked short squeeze. It is a clear and intentional signal to other MM's that any upward movement of GOSY's pps due to "good news" will be thwarted. This is, imho, deliberate complicity by UBSS to artificially hold an OTC stock price down using their offshore relationships to hide the identities of those directing these manipulations.

Isn't that more unethical behaviors such as UBS hiding client identities and their funds from the IRS in order for their anonymouse clients to evade US taxes?

When GOSY's CEO complained to UBS's Chief Compliance Officer, Frederic Greenbaum, UBSS moved their ask down to $.003.

When GOSY's CEO complained again to Greenbaum, again, UBSS moved their ask down to $.0025.

When GOSY's CEO complained to UBS's Chief Counsel, Jonathan Eisenburg, regarding this obvious manipulation of GOSY stock and it being in violation of UBS's "Code of Conduct" and asked for an appropriate point of contact, Eisenburg referred GOSY's CEO back to the very people --as appropriate contacts for ethics code violations-- that GOSY was wishing to report as violating UBS's Code of Conduct!

That is unethical on the face of it!

Code of Business Conduct and Ethics of UBS

The "Code of Business Conduct and Ethics of UBS" sets out the principles and practices that UBS expects all of its employees and directors to follow unreservedly both in letter and in spirit. The principles and standards set out in the Code should characterise all of UBS's business activities and all its dealings with the firm's stakeholders including clients, colleagues, shareholders, regulators and business partners. It is the basis for all UBS policies, guidelines and statements relating to each of the firm's employees' personal commitment to appropriate and responsible corporate behaviour.

http://www.ubs.com/global/en/about_ubs/about_us/code_of_conduct.html

So it would seem that UBS's "Code of Conduct" is meaningless and a deliberate attempt to convey that UBS is "cleaning up its act," when the reality is that UBS US Chief Counsel, Eisenberg, has chosen to participate in this now apparent coverup of UBS using their offshore brokerages and affiliations to naked short OTC stocks such as GOSY.

Has anyone else seen similiar behavior by UBS regarding OTC stocks that they follow?

mech66



P.S. Here's still more on UBS's unethical activities:

UBSS has manipulated the hell out of this thing today.
Throwing up that 750,000 wall on the ask got everyone
scared and they started selling.

http://investorshub.advfn.com/boards/read_msg.aspx?message_id=76756973

UBSS started the heavy selling with its 142k offer at .70
midday. The stock prior to UBSS offering was starting to
pick up.

http://investorshub.advfn.com/boards/read_msg.aspx?message_id=72646992

Unauthorized trading incident

On 15 September 2011, UBS announced that it had discovered unauthorized trading by a trader in its Investment Bank in London, which could cause UBS to report a loss for the third quarter of 2011. In a follow-up announcement on 18 September 2011, UBS gave more details and background on the incident. The trader took unauthorized, speculative positions concealed by the booking of fictitious, offsetting trades, so the violation of UBS's risks limits could not be detected. The loss resulting from the incident is USD 2.3 billion.

http://www.ubs.com/global/en/about_ubs/media/global/unauthorized_trading_incident.html

Internal Message from Sergio P. Ermotti about the unauthorized trading incident trial

4 September 2012


Dear colleagues,

From 10 September 2012, the trial in connection with the unauthorized trading incident will begin in London. As you may know, these trading activities in 2011 led to a loss of over two billion US dollars at the Investment Bank.

It is important to note that UBS is not a party in the trial, and there is only one defendant in the dock. However, given how serious the consequences of the incident were, we must assume that UBS’s culture and practices will be examined during the course of the trial. This is, to a certain extent, understandable.

Today I wish to remind you of what I already stated at our Annual General Meeting earlier this year. We have improved internal monitoring and controls to ensure that something like this does not recur, or if it does, to ensure that it is detected and dealt with swiftly. We have taken appropriate disciplinary action against staff who did not uphold the high standards we expect. And we have also addressed the deficiencies in our internal control system for financial reporting, as we confirmed in our first-quarter report.

As uncomfortable as the entire trial will be for UBS, it will show us what the consequences are when misconduct occurs or when individuals do not take their responsibilities seriously. Misconduct also includes turning a blind eye, that is, failing to intervene when there are irregularities or failing to escalate concerns, however minor these may seem. Such behavior is unacceptable. Amidst all the progress that we have made since this incident, we must never forget that our reputation is more important than anything else and that every one of us is a guardian of that reputation.

During the entire duration of the proceedings, we will do our utmost to keep you informed about new developments and our position on them as quickly as we can. Even if the trial involves a high degree of media attention, it is important to stay calm and objective and to avoid comment in order not to jeopardize the trial. You should be aware that English law imposes strict restrictions on what can be said about ongoing proceedings.

We have been absolutely determined to learn from this incident and I am aware that you may have been embarrassed by this episode. However, it’s important that you do not allow others to put you down or let this incident detract from your many achievements. The details that will come to light during the trial concern the past and we should look to the future. We have made substantial progress over the past year, building up an industry-leading capital position that makes UBS one of the most financially sound firms in the world.

Please convey these messages (refer to the available documents) in discussions with your clients, family and friends. You have every right to be proud of what we have accomplished.

Thank you for your support.

Sergio P. Ermotti

http://www.ubs.com/global/en/about_ubs/media/global/unauthorized_trading_incident/2012-09-04-internal-message-ermotti.popup.html