UBS to settle securities case for $19.4 billion

updated 10:44 a.m. ET Aug. 8, 2008

BOSTON - The Massachusetts Secretary of State’s office says Swiss Bank UBS has reached a $19.4 billion agreement to buy back bonds to settle claims that it misled investors into buying high-risk securities.

The agreement has been reached between UBS Financial Services Inc. and the federal Securities and Exchange Commission and regulators in several states.

Brian McNiff, a spokesman for Secretary of State William Galvin, said an official announcement may not come until Monday. The deal was first disclosed on Friday in The Boston Globe.

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