Milan, Oct 31 - UBS has reached a plea-bargain agreement where it will have to pay a fine of 500,000 euros in a case related to Italian dairy group Parmalat's 2003 collapse, a court heard on Friday. Parmalat was brought to its knees by 14 billion euros of debt in 2003 after uncovering a 4 billion euros hole in its accounts.
A Milan judge last year ordered banks Citigroup , UBS, Deutsche Bank , Bank of America and other individuals to stand trial for alleged market-rigging by some employees in connection to its collapse.
UBS will pay a 500,000 euro fine and have 1 million euros of so-called money made from criminal activity confiscated.
Two former UBS managers also entered plea-bargain agreements, as did a former Deutsche Bank manager.
The next court session for the trial is on Nov. 5.
Parmalat, which restructured and relisted on the Milan bourse in 2005, has successfully sued several banks that worked with previous management. The main trial related to its collapse began in Parma, near Parmalat's headquarters earlier this year.