Fallout from the UBS-IRS settlement over tax evasion charges claimed another victim last week.  Former UBS customer, Robert Greeley of California pleaded guilty to filing a false tax return by hiding more than $13mn in 2 bank accounts he held with UBS.  Greeley, who admitted to not disclosing on his tax returns the UBS accounts, nor interest earned, from 2002-2008, agreed to pay over $6.8mn in penalties to settle Justice Department charges.  He's scheduled to be sentenced on 11/9/11. 

Greeley hid the cash with the help of former UBS private banker Renzo Gadola.  In a separate case, Gadola was indicted for allegedly selling offshore tax-evasion services to wealthy Americans. 

UBS has had a history of legal problems with tax evasion.  In 2009, the bank paid $780mn to settle charges that it attracted customers by promising tax secrecy.  The U.S. probe into tax evasion in Swiss banking has since expanded to include other banks such as Credit Suisse.  HSBC earlier this year dropped all off-shore services, to avoid (as best they can) similar sanctions from such related charges.  [Reuters, 8/3/11]