New York Criminal Attorney: NY Criminal Defense – Bukh Law Firm

USB Broker Gets Off With Time Served

In what can be a cut-throat-world of higher finance, people get greedy as long as the dollars are flowing their way. Once they get caught stealing, everything can become everyman for himself. Recent bid rigging in New York State shows just how quick — and to what lengths — a person might go to save their own skin.


A one-time UBS AG dealer who turned into a witness in the government’s investigation into manipulating the bidding system in the $3.7 trillion metropolitan security business got off with time served.


Mark Zaino, a previous chief on UBS’ city bond desk in New York, conceded to deception charges in 2010. Zaino is the fourth individual to concede wrongdoing as a feature of the relatively recent antitrust scrutiny.


The test has brought about convictions and settlements over $740 million with UBS, Bank of America Corp , General Electric Co, JP Morgan Chase & Co. and Wells Fargo & Co. UBS’ share was $160 million.


District Judge Kimba Wood in Manhattan said Zaino’s eight years of participation with government agents explained the sentence.


“History has proven time and again that an examination like this couldn’t be effective without somebody such as yourself,” she said.


The Justice Department claimed that between October 2001 and March 2006, Zaino and his fellow conspirators would select ahead of time who might win auctions of ensured financing contracts, which open substances purchase with the returns from metropolitan bond deals.


Zaino then masterminded lowball offers to give the pretense of intense bidding, and kickbacks to be channeled to CDR Financial Products Inc, a Beverly Hills, California financier that prosecutors said directed financing contracts to select firms.


CDR author David Rubin was sentenced to two years probation in the wake of admitting to wire fraud. He likewise worked with investigators.


“I live consistently with misgiving and regret,” Zaino said.


Zaino, 39, spoke out against three previous UBS executives-Peter Ghavami, Gary Heinz and Michael Welty – who were sentenced in 2012 for taking part in plans cheats identified with municipal bond proceed agreements.


Zaino likewise spoke at the trials of three previous executives – Steven Goldberg, Dominick Carollo and Peter Grimm. An appeals court voided their 2012 convictions a year ago, saying the prosecution took too long to do their job.


Sources say that Zaino is now looking for work outside of the financial realm and hopes to regain some sanity from his former life.

The case is U.s. v. Zaino, U.s. Area Court, Southern District of New York, No. 10-Cr-00434.