Credit Suisse pays $495 mln to settle U.S. case
STORY: Credit Suisse is paying $495 million to settle a case brought against it in the U.S.
It’s just the latest in a series of scandals and blunders that have battered the bank’s reputation.
The new payout covers a case brought by the New Jersey attorney general over mortgage-backed securities sold by the firm prior to 2008.
Credit Suisse was alleged to have “misled investors and engaged in fraud or deceit” over the sale of the securities.
Now the bank says it’s happy to have settled the last case involving claims by a regulator over the mortgage instruments.
Last week chairman Axel Lehmann pledged to reform the firm after what he called a “horrible” time.
The Swiss lender has faced a series of scandals, including the loss of over $5 billion due to the collapse of investment firm Archegos.
It was also convicted of failing to prevent money laundering by Bulgarian drug traffickers, and pleaded guilty to defrauding investors over a loan to Mozambique.
Credit Suisse is now expected to reveal details of a long-awaited strategic review later this month.
