‘Rogue trader’ trial: Jury starts second day of deliberations

10:47 15 November 2012

The jury in the trial of alleged rogue trader Kweku Adoboli has started a second day of deliberations. Picture: Lewis Whyld/PA Wire

The jury in the trial of alleged rogue trader Kweku Adoboli has started a second day of deliberations. Picture: Lewis Whyld/PA Wire

Jurors in the trial of a city trader accused of gambling away £1.4billion have started a second day of deliberations.

Kweku Adoboli, 32, from Whitechapel, is charged with fraud and false accounting over the losses to UBS, which wiped £2.8billion off the Swiss bank’s share value.

Prosecutors claim that in a bid to boost his status and bonuses Adoboli exceeded his trading limits and failed to hedge trades, faking records to cover his tracks, but Adoboli denies any wrongdoing, saying he was pressured to take risks by senior managers.

Sasha Wass QC, for the prosecution, told jurors Adoboli was “a gamble or two away from destroying Switzerland’s largest bank for his own gain”.

She said: “He did all of this by exceeding his trading limits, by inventing fictitious deals to conceal this and then he lied to his bosses.

“Mr Adoboli’s motive for this behaviour was to increase his bonus, his status within the bank, his job prospects and of course his ego.

“Like most gamblers, he believed he had the magic touch. Like most gamblers, when he lost, he caused chaos and disaster to himself and all of those around him.”

At one point he was at risk of causing the bank losses of 12 billion US dollars (£7.5billion), Southwark Crown Court heard during the trial.

But the Ghanaian-born former public schoolboy told jurors everything he did was aimed at benefiting the bank, where he viewed his colleagues as “family”.

Adoboli said he “lost control in the maelstrom of the financial crisis”, and was doing well until he changed from a conservative “bearish” position to an aggressive “bullish” stance under pressure from senior managers.

Describing the moment when he began to make serious losses as European markets crashed in July last year, he said: “The real problem was a result of the pressure to flip my position from short to long. This broke my control.

“I absolutely lost control, I was no longer in control of the decisions around the trades we were doing.”

Adoboli claimed staff were encouraged to take risks until they got “a slap on the back of the wrist”.

He told the court: “We were told to go for it, we went for it. We were told to push the boundaries, so we pushed the boundaries.

“We were told you wouldn’t know where the limit of the boundary was until you got a slap on the back of the wrist.

“We found that boundary, we found the edge, we fell off and I got arrested.”

Adoboli, of Clark Street, worked for UBS’s global synthetic equities division, buying and selling exchange traded funds (ETFs), which track different types of stocks, bonds or commodities such as metals.

He is accused of two counts of fraud and four counts of false accounting between October 2008 and September 2011, which he denies.

During his summing up of the evidence, Mr Justice Keith asked jurors to decide whether Adoboli acted dishonestly “by the standards of sensible and honest people” when considering the fraud charges.

Sign up for our news alerts today!

Our editors' picks for the day's top news delivered to your inbox or phone.

Sign up for email alerts Sign up for mobile alerts
1
2 3 4 5 6
7

Latest Crime news

Wednesday, March 4, 2015
Police want to speak to this man in connection with an incident that left a man needing 13 stitches [Photograph from British Transport Police]

A man needed 15 stitches after he was hit in the face with a glass thrown at someone else outside the Hamilton Hall pub in Liverpool Street station.

Wednesday, March 4, 2015
The suspect thrusts a knife through a window into the driver's face (Picture: Met Police)

CCTV of the shocking moment a bus driver was stabbed in the eye with a Stanley knife through a window in Penge has been released by police.

Wednesday, March 4, 2015
Ayesha Ali

A mum and her lover have this morning been found guilty of the manslaughter of her eight-year-old daughter – but cleared of murder.

Wednesday, March 4, 2015
Solomon Bygraves admitted robbing 93-year-old Stanley Evans in Soho (Picture: Metropolitan Police/PA Wire)

A callous thug who shoved a frail 93-year-old man to the ground so he could steal just £5 from him has admitted carrying out the ‘sickening’ robbery.

Wednesday, March 4, 2015
Teen victim Alan Cartwright

Detectives have arrested three people in connection with the murder of Alan Cartwright, 15, the teen who was stabbed to death while riding his bike along Caledonian Road, Islington.

Tuesday, March 3, 2015
British Transport Police want to speak to this man after a teenager was hit over the head with a glass bottle

A man was having a friendly chat with a group of strangers on a train from London when, without warning, one of them smashed a glass bottle over his head.

Latest Stories from SNAP.PA

Albert Square will welcome the veteran actress for a guest appearance.

Read more

Wax is being sculpted into the shape of some famous sci-fi characters.

Read more

Best header of the night went to Stoke’s Victor Moses, but who else triumphed?

Read more

Promoted content

A look at one of our previous Design Fairs

Chelsea Old Town Hall will be the venue for the renowned Desire Fair from 6-8 March 2015. This stunning mixed media jewellery and silversmithing event where visitors can purchase direct from contemporary designer makers selected from the best in the UK is an event not to be missed.

(Not guaranteed)

Mothers Day is fast approaching, so we’ve rounded up some unusual and beautiful gifts for you to dazzle the most important woman in your life come March 15th.

What is this?

Near You Now

Don't Miss...

A man who was dubbed a ‘hot criminal’ has won a modelling contract.

Andrew Mitchell’s wallet is £80,000 lighter today, and his political reputation is in tatters.

His girlfriend has been charged with intending to pervert the course of justice.

Quirky London