UBS and a French shipping tycoon are set to face a civil claim of around $1.5 billion (CHF1.3 billion) stemming from Credit Suisse’s role in a fundraising scandal in Mozambique, the UK’s top judges said, the first time a court has put a figure on the size of the suit.
This content was published on
2 minutes
Bloomberg
The bank and a shipbuilder owned by billionaire Iskandar Safa are gearing up to defend themselves in a civil trial due to start early next month in London over the government-guaranteed loans in the so-called “tuna bond” case. The scandal saw hundreds of millions looted from Mozambique and tipped the southern African nation into economic crisis.
The Mozambican government’s claim is now worth around $1.5 billion, including more than $1 billion in lost international grants, the UK Supreme Court said in a ruling on Wednesday. The court declared that shipbuilder Privinvest couldn’t rely on arbitration agreements to postpone the London suit.
The impending trial is set to consider allegations that the Swiss bank, which was bought by rival UBS in June, ignored red flags and turned a blind eye to the corruption of its own bankers in deals struck a decade ago that were intended to fund a new coastal patrol force and tuna fishing fleet. The case triggered criminal investigations across the world with Credit Suisse agreeing in 2021 to pay almost $475 million to authorities.
“The judgment of the Supreme Court validates the Republic’s decision to bring proceedings against Privinvest and Mr. Safa in a public forum,” said Keith Oliver, a lawyer for Mozambique. Spokespeople for UBS and Privinvest couldn’t immediately comment.
Credit Suisse had unsuccessfully sought to block the trial after saying that Mozambique President Filipe Nyusi and his security service failed to disclose documents that were crucial for a fair trial. Earlier this month, Nyusi received immunity from any allegations he was involved in the conspiracy at the heart of multibillion dollar fishing-boat scandal, in a setback for the bank.
Swiss authorities announce cost-cutting in asylum sector
This content was published on
The government notably wants to improve integration into the labour force, particularly for people with protection status S.
Various leaders confirm participation at Ukraine peace conference
This content was published on
The presidents of Poland, Finland, and Latvia and the prime ministers of Spain and Belgium will be at the Swiss-hosted talks in mid-June.
This content was published on
In the winter season up to April 2024, railway and cable car operators ferried 3% more visitors compared to the previous winter, and 5% more than the five-year average.
Rhine flooding: Swiss to invest CHF1 billion with Austria
This content was published on
As part of an international agreement with Austria, the Swiss government wants to pump CHF1 billion ($1.1 billion) into flood protection measures along the Rhine over the next three decades.
Swiss government proposes CHF10 million UNRWA donation
This content was published on
After months of debate, Switzerland plans to give CHF10 million ($11 million) to the UN agency this year, rather than the CHF20 million initially foreseen.
Swiss study: insects mainly migrate at midday and dusk
This content was published on
A study led by the Swiss Ornithological Institute in canton Lucerne is helping to better understand the movement patterns of migratory insects.
Red Cross: 22 staff killed in Middle East since October
This content was published on
The Red Cross and Red Crescent network in Gaza and Israel has lost 22 staff members since last October, the Swiss Red Cross (SRC) said on Wednesday.
Dortmund’s Kobel is first Swiss goalie in Champions League final
This content was published on
Borussia Dortmund’s Gregor Kobel has achieved history by becoming the first Swiss goalkeeper to reach a Champion’s League final.
University students in Switzerland join Gaza protest wave
This content was published on
Pro-Palestinian activists occupied university buildings in Lausanne, Geneva and Zurich on Tuesday, widening the protest movement in the Alpine nation.
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.
Read more
More
Credit Suisse seeks to strike out Mozambique ‘tuna bonds’ case
This content was published on
Credit Suisse wants London’s High Court to strike out a Mozambique lawsuit over the bank’s role in the $2 billion “tuna bonds” scandal.
Mozambique reeling from Credit Suisse ‘tuna bond’ scandal
This content was published on
Mozambique's Tuna Bond legal battle could be a "hollow victory" if the country's economy collapses under a mountain of debts.
This content was published on
“Credit Suisse’s admission of responsibility, failure to comply with the law (…) and involvement of employees in bribery underscores the legitimacy of FMO’s demand for full cancellation of the illegal debt,” said the Budget Monitoring Forum (FMO), a coalition of civil society groups working on public finance accountability. The statement was made in response to…
Swiss open investigation into Mozambique loan scandal
This content was published on
Swiss prosecutors have opened an investigation into a suspected money laundering scandal involving loans to state-owned companies in Mozambique.
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.