UBS, a Bank Based in Switzerland, Has Received a Subpoena

question 66

Essay

UBS, a bank based in Switzerland, has received a subpoena from the IRS for the bank records of 52,000 U.S. citizens. The IRS alleges that the U.S. taxpayers hid money in UBS accounts for the purpose of avoiding paying taxes. UBS had created a program that recruited tax advisers and their clients under the guise that they could protect their funds from the IRS.
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Swiss law prohibits banks, under privacy rights, from disclosing information about their customers and their accounts. However, the IRS has obtained a subpoena for the records and a federal judge has issued it because UBS is soliciting business in the United States. One banking minister in Switzerland has indicated, however, that Swiss privacy laws do not apply when there has been fraud.
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Evaluate the ethics of UBS as well as their customers. If you worked for the bank, would you release the information?   Would you place your money in Swiss accounts?

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Definitions:

Response Uncertainty

The inability to predict the outcomes of decisions or actions due to unpredictable external factors or incomplete information.

Environmental Uncertainty

The lack of predictability in the surrounding environment that impacts an organization's decision-making capabilities.

Response Uncertainty

The unpredictability about how a decision or action will be received or what outcomes it will produce.

Course Match

The process of aligning one's academic or professional learning path with their interests, goals, or the requirements of a particular field.