Credit Suisse loses bid to dismiss lawsuit in U.S. over writedowns
Source: Reuters
BUSINESS NEWS FEBRUARY 20, 2019 / 10:52 AM / UPDATED 3 MINUTES AGO
Jonathan Stempel
3 MIN READ
NEW YORK (Reuters) - A U.S. judge has rejected Credit Suisse Group AG’s bid to dismiss a lawsuit accusing the Swiss bank of defrauding shareholders about its risk appetite and risk management before taking $1 billion of writedowns on souring debt.
The decision by U.S. District Judge Lorna Schofield in Manhattan was made public on Wednesday.
Schofield said investors who lost money in Credit Suisse’s American depositary receipts could pursue claims that the bank, Chief Executive Tidjane Thiam and other defendants intended to mislead them, by touting its “comprehensive” risk controls and “binding” limits on its exposure to risky and illiquid debt.
Credit Suisse took two writedowns in early 2016 on $4.3 billion of collateralized loan obligations and distressed debt, contributing to its first full-year loss since the 2008 global financial crisis.
Read more: https://www.reuters.com/article/us-credit-suisse-lawsuit/credit-suisse-loses-bid-to-dismiss-lawsuit-in-u-s-over-writedowns-idUSKCN1Q922B?il=0
SO this bank thinks that it was just fine and dandy to take pension money from union workers and others, and when they failed to limit there own risks of their investments, they decide to go after the workers pensions in there portfolio................I have one (pension) that was transferred over to an insurance company....................oh fucking boy.....................
