NEW YORK (Reuters) - Credit Suisse helped put together billions of dollars in securities that were issued by offshore investment vehicles of Banco Espirito Santo SA and then sold to the Portuguese bank's retail customers, the Wall Street Journal reported on Sunday. In the article in its online edition, the newspaper cited corporate filings and people familiar with the situation, saying customers didn't know the investment vehicles were loaded with debt issued by various Espirito Santo companies and served as a mechanism to finance the Portuguese conglomerate. When contacted by Reuters, Credit Suisse in Switzerland said it had no comment on the story. WSJ.com said representatives of Credit Suisse and Espirito Santo declined to comment on the article as well. Troubled Banco Espirito Santo is Portugal's second largest bank. The Portuguese government said it will extend a loan of 3.9 billion euros ($5.2 billion) to the bank resolution fund in charge of rescuing Banco Espirito Santo. WSJ's website also said it was unclear about Credit Suisse's direct role in selling the securities to bank customers. Portuguese regulators investigating the Espirito Santo case have identified at least four offshore investment vehicles whose securities, mostly preferred shares, were sold with the help of Credit Suisse to Espirito Santo customers, WSJ.com reported, citing sources familiar with the investigation. WSJ.com said three of the investment firms - Top Renda, EuroAforro Investments, and Poupanca Plus Investments - are based in Jersey, a tax haven in the Channel Islands. According to corporate records filed with the Jersey Financial Services Commission cited by WSJ.com, Credit Suisse served as "arranger and dealer" for those three vehicles, a role that included not just underwriting securities but also handling administrative and financial needs. The fourth vehicle, EG Premium, is in the British Virgin Islands, also a tax haven. TANGLED WEB The people familiar with the investigation quoted by WSJ.com said all four entities are controlled, at least in part, by Swiss financial company Eurofin Holding SA, also partly owned by Espirito Santo until 2009 and has had close business ties to the collapsed family-owned conglomerate. The four investment firms invested primarily in debt issued by Espirito Santo companies, including the Portuguese bank, its Luxembourg-based parent and an Angolan mining and infrastructure investment company called Escom, according to corporate filings and internal Eurofin documents reviewed by WSJ.com. Credit Suisse had agreements dating back to the mid-2000s with EuroAforro and Top Renda to handle the issuance of up to $2.5 billion of each of their preference shares, WSJ.com reported, citing corporate filings. Those programs were still active as recently as last year, the same filings showed. Credit Suisse also was responsible for Poupanca's preferred-share sales, according to the filings. The Swiss bank also paid the three vehicles' operating expenses, including legal and audit fees and administrative costs, WSJ.com said citing filings. (Reporting by Gertrude Chavez-Dreyfuss; Additional reporting by Alice Baghdjian in Zurich; Editing by Sophie Hares and Eric Walsh)
Our goal is to create a safe and engaging place for users to connect over interests and passions. In order to improve our community experience, we are temporarily suspending article commenting
Heidi Klum's Curves Are Barely Contained by Her Bodysuit in This Impressive New Weight Lifting Photo
Heidi Klum does it again! She’s kicking off the week with her latest nearly nude photo that’s also a throwback from a magazine shoot she did when she was 36 years old. It doesn’t matter that almost 12 years have passed since this image was taken, she looks just as fabulous in 2021. The black-and-white […]
While the British media have played up the rivalry between Kate Middleton and Meghan Markle for years now, a new book is shedding some light on the fact that they really do have kind things to say about each other behind closed doors. Christopher Andersen’s Brothers and Wives: Inside the Private Lives of William, Kate, Harry, […]
- Celtics Wire
Celtics trade two veterans and a young wing to secure the team’s third star in new B/R trade proposal
It's not implausible, and we'd have to think about this one a while before making a decision.
- Sixers Wire
Philadelphia 76ers legend Allen Iverson reveals his all-time starting lineup in NBA history.
- Men's Health
As more people are embracing ethical non-monogamy, learn whether polyamory, open relationships, and/or swinging are right for you.
- Hoops Hype
Michelle Beadle has further elaborated on the idea that LeBron James wanted her fired from ESPN. In November, on her own podcast, Beadle said that she found out that James tried to get her axed. This week, Beadle went on the "House of Strauss" ...
Verstappen says that Formula 1 becoming more about rules than racing.
- Charlotte Observer
One case, in Mooresville, led to the arrest of an Xfinity car chief.
Shields reflected on her now-infamous 1980 Calvin Klein jeans campaign, which came under fire at the time for its perceived sexual innuendo
- Detroit Free Press
Michigan football will play Georgia with a shot to get to the national championship game on the line.
- Road & Track
Verstappen's additional time penalty of ten seconds does not change the final result of the race.
- Good Housekeeping
'The Voice' coaches Ariana Grande and Kelly Clarkson were featured on the new NBC show 'That's My Jam.' After competing, Ariana walked off the stage when Kelly sang Whitney Houston's 'I'll Always Love You.'
- Longhorns Wire
One of the most intriguing positions in the portal right now.
- Patriots Wire
The Patriots made unique history on Monday night.
- Business Insider
Better.com CEO accused hundreds of the 900 people he laid off on Zoom of 'stealing' by working only 2 hours daily
"They were stealing from you and stealing from our customers who pay the bills that pay our bills," the Better.com CEO wrote on Blind, per Fortune.
The temperature was 76 degrees early on the Aug. day when Ellen Chung, Jonathan Gerrish, their daughter Miju, and their dog died, but peaked at 109
"Just two kids chasing their dreams," Christen Harper said of the moment while resharing the footage from her Sports Illustrated Swimsuit photoshoot
- Longhorns Wire
Texas is starting to experience a little more attrition as their offseason goes on, which is something head coach Steve Sarkisian expected.
- LA Times
With Lincoln Riley coming in to coach USC, some players are announcing their intentions to enter the transfer portal or declare for the NFL draft.
- Broncos Wire
A video of Broncos rookie guard blowing up Chiefs defender Melvin Ingram already has more than 1.3 million views.