ZURICH--Switzerland will prevent Swiss bank UBS (UBS: 11.74, -0.01, -0.09%) from handing over bank client information to U.S. tax authorities, which would breach Swiss law, the Justice Ministry said on Wednesday.
U.S. authorities have asked UBS to hand over information on 52,000 Americans holders of secret bank accounts in Switzerland suspected of dodging U.S. taxes.
A court hearing on the case starts in Miami on July 13.
"Swiss law prohibits UBS from complying with a possible order by the court in Miami to hand over the client information," the Swiss justice ministry said in a reply to the U.S. authorities posted on its website.
"All the necessary measures should be taken to prevent UBS from handing over the information on the 52,000 account holders demanded in the U.S. civil proceeding."
Guess some countries do not appreciate being dictated to by other countries. As for now, some feel it still important that their laws and business practices remain in tact.LIBERTY: immunity from arbitrary exercise of authority: political independence