Credit Suisse 'seriously breached' obligations in Greensill case, Swiss regulator says

Credit Suisse "seriously breached its supervisory obligations" successful the discourse of its concern narration with financier Lex Greensill and his companies, Swiss regulator FINMA concluded Tuesday.

The embattled Swiss lender's vulnerability to the London-based Greensill Capital resulted successful massive reimbursements to investors aft the supply concatenation concern steadfast collapsed successful aboriginal 2021.

Credit Suisse CEO Ulrich Körner welcomed the decision of the FINMA probe successful a connection Tuesday.

"This marks an important measurement towards the last solution of the SCFF issue. FINMA's reappraisal has reinforced galore of the findings of the Board-initiated autarkic reappraisal and underlines the value of the actions we person taken successful caller years to fortify our Risk and Compliance culture. We besides proceed to absorption connected maximizing betterment for money investors," helium said.

In March 2021, Credit Suisse closed 4 proviso concatenation concern funds astatine abbreviated announcement related to Greensill companies. The funds were distributed to qualified investors with lawsuit documentation indicating debased risk, and lawsuit vulnerability sat astatine astir $10 cardinal astatine the clip of the closure.

The Greensill saga was a cardinal crushed down Credit Suisse's massive overhaul of its hazard absorption and compliance operations, alongside the illness of Archegos Capital.

FINMA announced Tuesday that it has ordered remedial measures and opened 4 enforcement proceedings against erstwhile Credit Suisse managers.

"In future, the slope volition person to periodically reappraisal astatine enforcement committee level the astir important concern relationships (around 500) successful peculiar for counterparty risks," the regulator said.

"In addition, the slope is required to grounds the responsibilities of its astir 600 highest-ranking employees successful a work document."