[ad_1]
Credit Suisse will pay up to $475 million in fines to officials in the United States and the United Kingdom to settle criminal charges arising from a foreign bribery investigation of more than $2 billion to raise money for tuna fishing in Mozambique.
As part of the global settlement, a division of the Swiss-based bank pleaded guilty Tuesday to charges of conspiracy to commit electronic fraud in Brooklyn federal court. Credit Suisse came on the defensive as part of a deferred prosecution settlement, in which federal prosecutors agreed to dismiss the charge three years later if the bank accepted the settlement.
The bank has also entered into regulatory agreements with the Securities and Exchange Commission and the UK Financial Conduct Authority.
The deals resolve a long-running investigation stemming from a series of bond offerings and a loan aimed at helping develop Mozambique’s tuna fishing industry.
Investigators said more than $200 million of that money was diverted to paying bribes and kickbacks to enrich foreign officials and former bankers at Credit Suisse in a scandal unofficially known as the “tuna-tie” affair. Three former Credit Suisse bankers pleaded guilty to the investigation.
The SEC said in a filing that Credit Suisse misled investors about its bond offerings by failing to disclose the misappropriation of funds, and that Mozambique’s outstanding debt was much higher than documented. Swiss authorities will appoint an outside observer for some of the bank’s operations and risk management systems, federal prosecutors said in a statement.
“This coordinated global decision demonstrates this office’s commitment to working across borders with our global law enforcement partners to root out misconduct and fraud by financial institutions to protect US investors,” said Breon Peace, attorney for the US Eastern District. In Brooklyn, New York.
It’s been a tough year for Credit Suisse. He lost more than $5 billion in the bank collapse. Archegos Capital Management, a family office where Credit Suisse lends money and helps regulate heavy derivatives trading, which resolved spectacularly in March. And when did it suffer from a $160 million loan Green Capital crashed the same month. a series executives were fired after these losses
Credit Suisse said in a statement that it expects to receive a $230 million fee in the third quarter regarding the deal.
[ad_2]
Source link