News

Law

Asset Management

Investment Banking

Wealth

Hedge Funds

People

Newsletters

Events

Lists

UBS auction-rate tab: $81m

UBS was ordered to reimburse Kajeet, which markets cellphones for kids, $80.8m (€61.1m) for damage to its business

UBS AG has been ordered to pay 10 times the amount a Maryland marketer of cellphones originally invested in auction-rate securities, in another sign of the reckoning still dogging Wall Street for its role in investor losses during the meltdown.

UBS was ordered to reimburse Kajeet, which markets cellphones for kids, $80.8m (€61.1m) for damage to its business when Kajeet's cash was frozen in auction-rate securities in early 2008. Kajeet had invested only $8 million in the securities through UBS, according to people familiar with the case.

WSJ Logo