Exonerated trader Tom Hayes sues UBS for $400 million
Former UBS and Citigroup trader Tom Hayes, whose conviction in the global Libor-rigging scandal was overturned earlier this year, has filed a $400 million lawsuit against UBS, accusing the Swiss bank of framing him to protect senior executives.
In a complaint filed in Connecticut state court, Hayes claims UBS “maliciously prosecuted” him by portraying him as the “evil mastermind” behind Libor manipulation — a move he says allowed the bank to avoid criminal prosecution while paying $1.5 billion in regulatory fines in 2012, News.Az reports, citing Reuters.
“It has taken me over a decade to overturn my wrongful conviction and clear my name,” Hayes said in a statement. “My legal team are now rightfully holding UBS to account for scapegoating me.”
UBS declined to comment on the lawsuit, which was filed on October 23, and a similar case Hayes later filed in New York state court.
The London Interbank Offered Rate (Libor) once influenced more than $300 trillion in global financial products — from credit cards to student loans and mortgages.
Hayes was convicted in 2015 of conspiring to defraud by manipulating the benchmark, serving about half of an 11-year prison sentence before his release in 2021.
In July 2025, the UK Supreme Court overturned his conviction, ruling that the trial judge misdirected the jury by wrongly stating that banks could not consider their commercial interests when submitting Libor rates. The court said the error “undermined the fairness” of the trial.
Libor was officially phased out in 2022, after global banks paid about $9 billion in fines, and 19 traders were convicted in related cases in the UK and U.S.
Hayes, now 46, says UBS destroyed his career and reputation and caused “emotional and physical harm.” He is seeking punitive damages in addition to compensation.
Similar news
