Former executives from Credit Suisse reach a $115 million settlement in a lawsuit regarding risk management issues
Credit Suisse Executives and Directors Agree to $115 Million Settlement Over Inadequate Risk Management
In a significant development, a group of former Credit Suisse Group AG executives and directors have agreed to pay $115 million to settle a lawsuit filed by shareholders. The settlement, which was preliminarily approved by a New York judge on Thursday, pertains to allegations of inadequate risk management practices that led to losses between 2020 and 2021.
The suit, led by the Employees Retirement System for the City of Providence, claimed that the risk management failures of Credit Suisse resulted in the losses. The settlement amount is not funded by the insurers of the directors and officers, unlike the previous settlement, according to court documents.
The settlement does not pertain to the $300 million settlement regarding the Credit Suisse mortgage case or the $115 million settlement regarding risk management practices. It also does not relate to UBS Must Face US Investor Litigation Over Credit Suisse Demise.
The settlement pertains to a suit filed by shareholders against former Credit Suisse executives and directors. Multiple counterparties, including Malachite Capital Management, Greensill Capital Management, and Archegos Capital Management, defaulted, leading to the losses in question.
The payment will be funded by the insurers of the directors and officers, according to court documents. The settlement will be paid to UBS Group AG, as the successor to Credit Suisse.
It is important to note that there are no search results specifically naming the first names of other former directors of Credit Suisse Group AG involved in the case.
This settlement marks another step in the ongoing legal battles surrounding Credit Suisse and its former executives and directors. As more information becomes available, we will continue to provide updates on this developing story.
Read also:
- Duty on cotton imported into India remains unchanged, as U.S. tariffs escalate to their most severe levels yet
- President von der Leyen's address at the Fourth Renewable Hydrogen Summit, delivered remotely
- Unveiling Innovation in Propulsion: A Deep Dive into the Advantages and Obstacles of Magnetic Engines
- Intensified farm machinery emissions posing challenges to China's net-zero targets
