UBS GC Resigns in Wake of Cuomo’s Auction Rate Securities Filing

[WSJ_law_blog]

It looks as though the ARS prosecution party has claimed its first victim at UBS. David Aufhauser, the GC of UBS’ investment banking arm, has resigned from the firm, reports the WSJ’s Liz Rappaport (link not yet available).

On Friday, we noted a WSJ report that Aufhauser (pictured) had been highlighted in a civil fraud complaint filed by NY AG Andrew Cuomo against UBS for its actions in the auction rate securities market. The complaint did not specifically name Aufhauser, referring to him only as “Executive A.”

Aufhauser has not been charged with any wrongdoing. In Cuomo’s complaint, Aufhauser was described as selling personal holdings of auction rate securities at a time when the firm was trying to fix problems in the market.

The WSJ’s call to Aufhauser’s attorney was not immediately returned.

Photo: AP