UBS says will fight New Hampshire Lehman case

* UBS denies mis-selling Lehman products

* Says will fight New Hampshire case

ZURICH, June 4 (Reuters) - Swiss bank UBS (UBS.N)(UBSN.VX) will defend itself against a case brought by the New Hampshire Bureau of Securities Regulation over its sale of Lehman structured products, it said on Thursday.

The Wall Street Journal said the regulator filed a civil complaint against a unit of UBS on Wednesday, alleging that it failed to pass along a warning to clients about the safety of structured financial products underwritten by Lehman Brothers.

UBS said it had properly sold Lehman products, following all regulatory requirements and client disclosure guidelines.

"Any client losses were the direct result of the unexpected and unprecedented failure of Lehman Brothers, which affected all Lehman bondholders," it said in a statement.

"UBS is disappointed that the New Hampshire Bureau of Securities Regulation did not consider these factors prior to pursuing this unnecessary action against UBS. UBS will defend itself vigorously in this matter."

The regulator is seeking an unspecified fine from UBS, which it accused of unfair sales practices and failing to adequately supervise employees who sold structured products underwritten by Lehman, the Wall Street Journal said.

Billions of dollars of investors' money went up in smoke worldwide when the U.S. investment bank Lehman collapsed last year and angry clients have accused lenders in Europe and in the United States of giving them no early warning.

UBS rival Credit Suisse (CSGN.VX) has offered to pay around 150 million Swiss francs ($140.7 million) to compensate over 3,700 retail clients who invested in now worthless Lehman Brothers financial products.

UBS shares were up 0.6 percent at 15.68 Swiss francs at 0720 GMT, against a 0.3 percent rise in the Dow Jones Stoxx European banks index .SX7P. (Reporting by Emma Thomasson; Editing by David Cowell)