Credit Suisse is facing a class action lawsuit in the United States. Several individuals and companies have filed suits in New York district court alleging the alleged oligarch’s dealings of CS. This was reported by the AWP news agency.
According to the lawsuit, investors who acquired CS securities between March 19, 2021 and March 25, 2022 are behind the lawsuit. Prosecutors allege that Credit Suisse deceived investors worried about their dealings with Russian oligarchs.
A series of crashes in CS
The CS is said to have provided incorrect or at least misleading information about its dealings with the oligarchy. The plaintiffs see problems with the bank’s compliance policy. It concerns, among other things, the fact that Credit Suisse has prevented hedge funds and investors from destroying documents related to yachts and private jets belonging to its richest clients. Presumably, the CS wanted to cover up its dealings with the Russian oligarchy, which later ended up on international sanctions lists.
CS has always rejected allegations of file corruption. Nor has it commented on the lawsuit now filed with the AWP.
However, the lawsuit is likely to be inconvenient for the bank heads: they face a series of bankruptcies and collapses. Last week, at the general meeting, CS shareholders refused to discharge the company’s top management for the year 2020. This was due to a billion-dollar disaster with the Archegos and Greensill funds. Since shareholders are not given a discharge, the board and management can be held liable for any errors. (sfa)