Credit Suisse on Friday won a lawsuit at London’s High Court over the sale of $100 million (CHF90.47 million) of notes linked to residential mortgage-backed securities.
Loreley Financing, a special purpose vehicle set up by German bank IKB, sued Credit Suisse over its 2007 purchase of the notes as part of a collateralised debt obligation transaction.
The Jersey-registered company argued at a trial starting in April that it bought the notes because of Credit Suisse’s “false and dishonest representations” about their value.
+ Read more: Credit Suisse’s legal problems regarding bond write-downs
Loreley also argued the allegedly false representations were part of a “systemic fraud” by the Swiss bank in relation to the securitisation of residential mortgage-backed securities (RMBS).
But Credit Suisse – now owned by UBS – denied that there was any fraud in relation to its RMBS business, describing Loreley’s case as “thoroughly implausible”.
Judge Sara Cockerill ruled in Credit Suisse’s favour on Friday, saying there was no evidence to support the case of systemic fraud beyond “isolated documents”.
How we work
This news story has been written and carefully fact-checked by an external editorial team. At SWI swissinfo.ch we select the most relevant news for an international audience and use automatic translation tools such as DeepL to translate it into English. Providing you with automatically translated news gives us the time to write more in-depth articles. You can find them here.
If you want to know more about how we work, have a look here, and if you have feedback on this news story please write to [email protected].
More: SWI swissinfo.ch certified by the Journalism Trust Initiative
Full story here Are you the author?
You Might Also Like
Swiss banks spend more on online advertising but lag in AI
2023-11-09
Retail banks have increased investment in digital marketing by 16% in a bid to attract younger clients.
Swiss government wants to lower licence fee to CHF300
2023-11-08
The government wants to reduce the annual radio and television licence fee from the current CHF335 ($372) to CHF300 by 2029. The turnover threshold for companies to qualify for exemption has been raised from CHF500,000 to CHF1.2 million.
Switzerland scraps electric car tax exemption
2023-11-08
Anyone who owns an electric car in Switzerland will have to pay automobile tax from January 1.
The Federal Council decided on Wednesday to repeal this tax exemption for electric cars, which has been in effect since 1997.
No real wage growth expected in 2024: UBS survey
2023-11-08
Purchasing power in Switzerland is likely to remain under pressure next year. Companies surveyed by UBS want to pay their employees more wages for 2024, but higher salaries cannot compensate for the inflation.
Swiss potato harvest expected to drop by a third
2023-11-04
This year’s potato harvest has been disappointing with growers expecting a drop of around a third compared with recent years. Yields are still difficult to estimate at the moment. The final figures will not be known until early December, Ruedi Fischer, President of the Swiss Potato Growers’ Association (USPPT), told press agency Keystone-SDA.
Will a project to reintroduce European bison into Swiss forests work?
2023-11-04
The European bison, a species that differs slightly from its north American cousin, died out in Europe. Now it is to be reintroduced in Switzerland. Can a densely populated country tolerate such a large wild animal?
Swiss authorities reportedly mull new rules to prevent bank runs
2023-11-03
Swiss authorities and lenders, including UBS, are discussing new measures to prevent bank runs after Credit Suisse’s last-ditch rescue earlier this year, four sources familiar with the matter told Reuters.
Tags: Business,Featured,newsletter
