UBS under investigation for tax fraud in Belgium

Swiss banking giant UBS is being investigated for money laundering and tax fraud in Belgium.

In a statement on Friday, Belgian prosecutors said, "The Swiss bank is suspected of having directly, and not via its Belgian subsidiary, approached Belgian clients to convince them to set up constructions aimed at evading taxes.”

The prosecutor’s office said the investigation was launched following "excellent" help from French investigators, who are probing similar allegations against UBS covering the period from 2004 to 2012.

In 2014, Belgian police carried out raids both at the bank's local subsidiary. Authorities also raided the home of UBS Belgium chief executive Marcel Bruehwiler at the time.

The bank’s Belgian subsidiary has since been sold to Puilaetco Dewaay, a boutique private bank.

Issuing a denial, UBS said it would defend itself against “any unfounded allegations".