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By AP Feb 28, 2023 10:05:56 PM IST (Published)
Switzerland’s financial markets authority, FINMA, said Tuesday that it has concluded enforcement proceedings opened two years ago against Credit Suisse after bank partner Greensill Capital went bankrupt. At the time, Credit Suisse closed four funds linked to the partnership, in which bank clients had invested about $10 billion.
Swiss regulators have found that Credit Suisse made a "serious breach" of law in connection with a now-bankrupt firm linked to Australian financier Lex Greensill and have opened a probe that could lead to penalties against four former bank managers.
Switzerland’s financial markets authority, FINMA, said Tuesday that it has concluded enforcement proceedings opened two years ago against Credit Suisse after bank partner Greensill Capital went bankrupt. At the time, Credit Suisse closed four funds linked to the partnership, in which bank clients had invested about $10 billion.
Credit Suisse’s problematic ties to Greensill Capital were one of a string of troubles that have led in part to repeated shake-ups of top management and corporate restructurings in recent years. Greensill Capital also was the target of inquiries in the United Kingdom, with accusations that the firm founded by Greensill, an ex-adviser to former British Prime Minister David Cameron, won lucrative government contracts before going bust.