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Swiss bank chief rocked by currency swap claims

Swiss central bank chief Philipp Hildebrand on Wednesday faced fresh claims about his personal currency transactions in a scandal that has shaken the Swiss banking industry.

Swiss bank chief rocked by currency swap claims
Swiss National Bank

Swiss weekly newspaper Weltwoche said in a statement ahead of its Thursday publication that it was Hildebrand himself, and not his wife, who was behind the purchase and selling of currency that sparked a probe by the Swiss National Bank (SNB).

The bank chairman also made several other dollar and euro transactions on the foreign exchange market between March and October last year, according to Weltwoche, a publication close to the far-right Swiss People’s Party (SVP).

In March alone, Hildebrand bought dollars worth $1.1 million Swiss francs, the paper claimed, saying it had had access to extracts from the Hildebrands’ banking documents.

Contacted by AFP on Wednesday, the SNB gave no comment on the new revelations.

The central bank said in December that an independent investigation into the Hildebrand couple’s transactions had found no evidence of foul play.

The probe was reportedly launched after SVP figurehead Christoph Blocher went to then president Micheline Calmy-Rey with extracts of banking documents.

Blocher, a critic of SNB policy under Hildebrand, has so far remained silent on the matter.

Banque Sarasin in Basel said in a statement late Tuesday however that one of its employees had admitted illegally transmitting banking details to a lawyer close to the SVP.

In a further claim Weltwoche said the same employee had lodged a complaint against Hildebrand for alleged insider trading.

The SNB on September 6th imposed a bottom limit for the franc against the euro to stop the currency soaring and biting into Swiss exporters’ earnings.

The action saw both the euro and the dollar rise against the franc.

Three weeks earlier Kashya Hildebrand, who runs an art gallery in Zurich, said she bought dollars due to the fact that they had “hit a very low level and become ridiculously cheap.”

In a written statement to SF Swiss television, Hildebrand said she had always followed the exchange market and had worked in the banking sector for 15 years between 1984 and 1999 before moving into art.

On August 15th the dollar was worth 0.79 francs compared to 0.92 on October 4th.

According to Weltwoche, Hildebrand made 75,000 francs ($80,500) on the purchase and sale of $500,000 between these dates.

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BANK

Swiss National Bank hit by new spray paint attack

A woman activist spray painted a message on a billboard outside Switzerland’s central bank on Friday in an echo of a similar protest last year in which an 86-year-old woman was arrested.

Swiss National Bank hit by new spray paint attack
File photo: Fabrice Coffrini/AFP

The incident occurred as the Swiss National Bank (SNB) held its annual general meeting in Bern, the Blick newspaper reported.

An unidentified woman sprayed the message 'please remember why we founded you' on the billboard in red paint.

According to the paper, the protestor was campaigning in support of the campaign for monetary reform, which goes to a nationwide vote in June.

READ ALSO: Why the Swiss National Bank needs more gold

Known as the Vollgeld Initiative in German and the Initiative Monnaie Pleine in French, the initiative calls an end to traditional bank lending and for the SNB to be the only financial institution able to issue money. 

The SNB opposes the sovereign money initiative.

With the help of other activists, the spray painter removed the words a short time later.

Almost exactly one year ago an 86-year-old woman was arrested after spraying an anti-war message outside the SNB in a case that drew worldwide attention.

READ ALSO: Woman, 86, arrested for spraying anti-war graffiti on Swiss National Bank

The peace activist spray-painted ‘Money for weapons kills' on the billboard. 

She was campaigning on behalf of the Group for a Switzerland without an Army (GSsA) which had launched a popular initiative to ban Swiss financing of any company that produces arms. 

If it gathers the required 100,000 signatures by October 2018, the issue will go to a national referendum.