Credit Suisse Group AG Update
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Credit Suisse, a former Starwealth manager, settled one of the most explosive feuds in its history and prepared its first quarterly financial results under new chair Antonio Orta Osorio on Thursday. An out-of-court agreement has been reached with Ikubalkhan.
A bank spokesperson confirmed that he had reached a settlement with Khan and his wife after suing Credit Suisse and private detective agency Investigo for chasing the city of Zurich. “All parties have agreed to settle,” said Credit Suisse. “This issue is currently being resolved.”
The news was first reported in the Swiss newspaper NZZ am Sonntag.
Credit Suisse did not provide further details about the settlement, but Kahn and Investigo did not respond to requests for comment.
The dispute between Khan and Credit Suisse was one of Switzerland’s most dramatic corporate scandals, after bankers went into exile at rival UBS two years ago, and finally in February last year by Credit Suisse. Exiled Tijan Tiam as Chief Executive Officer.
After Khan’s resignation, Credit Suisse hired Investigo to monitor him and identify who he met, fearing he might try to lure staff and clients to UBS.
Kang claimed that a group of three men chased the city of Zurich by car and on foot, leading to a physical conflict behind the Swiss National Bank.
Credit Suisse then hired a private detective to pursue another former executive, Peter Gerke, admitting that both surveillance cases were ordered by former Chief Operating Officer Pierre Olivier Bue.
In response, Swiss financial regulator Finma Execution procedure Last year, how banks violated the law in surveillance, and “especially the question of how these activities are documented and controlled.”
Finma told FT that the enforcement proceedings against Credit Suisse were unaffected by the Khans settlement.
Credit Suisse culminated in a series of scandals two years after Khan departed. Double crisis Surrounding a controversial financial company Greensill Capital And family office Archegos Capital This spring reveals a serious weakness of banks Risk management and culture..
Swiss banks were forced to suspend $ 10 billion worth of money invested in Greensill-related debt in March. Only a few weeks later, he lost $ 5.5 billion after the collapse of Arquegos, a client of the bank’s Prime Brokerage unit.
Former Lloyds Banking Group CEO Altero Solio was appointed chairman in April. Under review Lender’s risk management and strategic direction.
Meanwhile, Khan has grown strongly since becoming co-head of UBS’s Wealth Management Division.The unit reported the best second quarter last week, Making record profits in Asia. Wealth management’s pre-tax profit surged to $ 1.3 billion, up 47% from a year ago.
Considered a candidate for Credit Suisse CEO, Kahn was granted a one-time payment of $ 8.1 million when he joined UBS.
Additional report by Stephen Morris
Credit Suisse solves spy case with former wealthy Ikubal Khan
Source link Credit Suisse solves spy case with former wealthy Ikubal Khan