Last Thursday, Massachusetts regulators filed a lawsuit against UBS alleging that the bank gave conflicted advice to customers in the auction-rate securities market.

In a desperate move to regain credibility from investors, Lehman has demoted Erin Callan from the CFO position and removed Joseph Gregory from the COO post. Dick Fuld will remain as CEO. Herbert McDade will succeed Mr. Gregory and Ian Lowitt will take over for Ms. Callan.

UBS is scheduled to take more losses on its mortgage holdings, as prices for these securities have worsened dramatically in the past few weeks.

Lehman Brothers announced that it expects to report a $2.8 billion ($5.14 a share) loss and increased the amount of capital it will raise to $6 billion.

The Wall Street Journal reports that Lehman is offering to open its books to at least one US pension fund in the hopes of garnering an equity investment.

Analysts at Bank of America cut earnings estimates for Goldman, Lehman and Morgan Stanley today.

Citigroup's Vikram Pandit announced today that the bank would be selling $400 billion of assets it identified as "not central" to its mission, including $170 billion worth of marked-to-market assets in its investment banking division.

UBS posted a $11 billion first quarter loss after taking a whopping $19 billion in mortgage-related losses. The company will cut 5,500 jobs in a restructuring effort to save the banking giant.

The Swiss bank USB has announced it will write down 12 billion euros in connection with the US credit crisis. The bank's nett loss for the first quarter of this year amounts to seven-point-six billion euros. Last year the bank sustained a nett loss of two-point-six billion euros, its first ever full-year loss.

In a historic move, Taiwan has allowed its banks to invest in China. And a new survey says expatriate business leaders consider the Philippines, Thailand, Indonesia and China Asia's most corrupt economies.

What can be said about JPM buying for BSC for just $2 per share. After hearing the news over the weekend it's certain most people thought it was a typo..."it HAS to be $20 per share right?" But after the news sank in, and you lifted your jaw off the ground, as an active trader/investor your next question had to be "who's next?"

Lehman Brothers Holdings Inc. Monday said the bank's liquidity position remains strong, as the fire sale of Bear Stearns to J.P. Morgan to prevent bankruptcy increased speculation that other big U.S. brokerages would come under pressure.