Credit Suisse sued by US shareholders amid banking turmoil
Copyright 2023 The Associated Press. All Rights Reserved.
Switzerland’s second-biggest bank has been hit by its first lawsuit from US investors over its recent difficulties. They allege that Credit Suisse defrauded them by concealing problems with its finances.
This content was published on
2 minutes
Reuters/Keystone-SDA/sb
Español
es
Accionistas estadounidenses demandan a Credit Suisse
Credit Suisse suffered a 30% drop in its share price on Wednesday, prompting the Swiss National Bank to offer it a CHF50 billion ($54 billion) lifeline.
The proposed class action lawsuit filed in a federal court in Camden, New Jersey, on Thursday accuses Credit Suisse of deceiving investors by failing to disclose that it was suffering from “significant” customer outflows, and that it had material weaknesses in its internal controls over financial reporting.
Shareholders led by Braden Turner said that as the truth became known, and Credit Suisse’s largest shareholder said it would not put more money into the bank, investors fled, causing losses as Credit Suisse’s stock price sank to a record low.
Credit Suisse is to borrow up to CHF50 billion from the Swiss central bank to bolster liquidity and reassure investors after its shares slumped on fears of contagion from a banking crisis in the United States.
The Zurich-based bank, with deep roots in Swiss business and society, is in the middle of a restructuring to rebuild after a string of scandals, losses and management upheavals.
Credit Suisse declined to comment on the US class action suit.
Turner, the named plaintiff, sued on behalf of holders of Credit Suisse’s American depositary shares from March 10, 2022, to March 15, 2023. The law firm representing Turner was also first to file shareholder lawsuits against US-based banks Silicon Valley Bank parent SVB Financial Group and Signature Bank. US regulators seized both of those banks within the last week.
Swiss money laundering office registers record number of reports
This content was published on
The Money Laundering Reporting Office Switzerland (MROS) registered a record number of reports of suspicious activity last year.
Two teens accused of planning terror attack released from custody
This content was published on
The Schaffhausen judiciary has released the two teenagers from custody who allegedly planned bomb attacks in Switzerland.
OECD: Sluggish economic activity slowing growth in Switzerland
This content was published on
Sluggish economic activity at the start of the year is weighing on growth in Switzerland, with GDP expected to fall to 1.1% in 2024.
Report finds mistakes which led to Swiss government data breach
This content was published on
Mistakes were made by both the government and internet company Xplain in the case of a criminal cyber-attack on the Bern-based IT business.
Swiss government wants better gender balance in federal administration
This content was published on
New Swiss government personnel management targets say there must be even more female managers in the federal administration.
Swiss national science foundation funded over 5,000 projects in 2023
This content was published on
In 2023, the Swiss National Science Foundation (SNSF) provided a total of CHF961 million worth of funding towards research projects.
Switzerland invites 160 delegations to June Ukraine peace talks
This content was published on
Russia is currently not among the delegations invited to talks aimed at helping bring about peace in the conflict between Moscow and Ukraine.
Survey: air travel most popular way to go on holidays for Swiss
This content was published on
Despite the climate crisis, flying is the most popular mode of transport for private travel – particularly among young, urban and high-income travellers.
Swiss government to use phone data to identify asylum seekers
This content was published on
From April 2025, authorities plan to be able to analyse data from mobile phones, computers and other data carriers to identify asylum seekers.
Credit Suisse to borrow up to CHF50 billion from Swiss National Bank
This content was published on
Switzerland’s second largest bank said it plans to borrow up to CHF50 billion from the Swiss central bank after a day of market turmoil.
You can find an overview of ongoing debates with our journalists here . Please join us!
If you want to start a conversation about a topic raised in this article or want to report factual errors, email us at english@swissinfo.ch.