Swiss regulator starts enforcement proceedings against Credit Suisse


The logo of Swiss banking giant Credit Suisse is seen on October 17, 2017 in Zurich.

Fabrice Coffrini | AFP | Getty Images

Swiss watchdog FINMA, the country’s financial market supervisory authority, said Wednesday it had initiated enforcement proceedings against Credit Suisse over the spying affair that came to light last year.

“FINMA has opened enforcement proceedings against the bank, in which it will pursue indications of violations of supervisory law in the context of the bank’s observation and security activities and in particular the question of how these activities were documented and controlled,” the regulator said in statement.

“Typically such proceedings can be expected to take several months,” it added.

CEO Tidjane Thiam resigned earlier this year over the sandal that began in 2019. His departure came amid the initial investigation by FINMA which followed two instances of former Credit Suisse employees, including former wealth management boss Iqbal Khan, being placed under surveillance.

The outgoing CEO maintained that he was not aware of the spying operation, which also led to the resignation of COO Pierre-Olivier Bouee and the suicide of a private investigator.

The bank scrambled to mitigate the “reputational damage” inflicted by the efforts to carry out covert surveillance on the former top executive. In October, Credit Suisse Chairman Urs Rohner apologized to Khan and his family for the “wrong and disproportionate” observation operation which he said had caused “severe reputational damage to the bank.”

An internal investigation carried out by law firm Homburger last year determined that Bouee acted alone in ordering the surveillance of Khan, who left the Swiss lender abruptly in July to join fierce domestic rival UBS.



Source link

Discover

Sponsor

Latest

Grayscale sees 900% jump in inflows as Wall Street flocks to bitcoin

Mykola Tys/ | LightRocket | Getty ImagesGrayscale saw its assets under management skyrocket as Wall Street used it as a proxy to invest...

Study Confirms Minorities at Higher Odds of COVID

TUESDAY, Sept. 29, 2020 (HealthDay News) -- Black and Hispanic Americans are twice as likely...

2021 Nissan Rogue Roof Rail Driveway Test | They’re fake!

I'm in the process of reviewing the new Yakima CBX Solar roof carrier. I've mounted it to a Subaru Outback and my own...

It will help you fix your bad Wi-Fi

I set up Amazon's $449 Eero Pro 6 mesh Wi-Fi system a few days ago and have already noticed a huge improvement in...

German lawmakers launch probe into Wirecard collapse

Markus Braun, chief executive officer of Wirecard AG, arrives for the company's annual news conference in the Aschheim district of Munich, Germany, on...