Subprime probes of UBS, Merrill, intensify

The WSJ reports that a preliminary criminal investigation of UBS is underway over its pricing of subprime debt.

And the paper says SEC inquiries into UBS and Merrill Lynch are now formal investigations.
The SEC is delving into whether brokerage firms placed higher values on securities they own than those they placed in customer holdings, the paper said.

Blogger note: I can't recall seeing allegations that retail investors themselves have been ripped off. This looks to be more an issue for shareholders of these firms, and a books and records issue for the firms themselves.