Credit Suisse pays $495 million to settle legacy case
2022.10.17 02:39
© Reuters. FILE PHOTO: The logo of Swiss bank Credit Suisse is seen at its headquarters in Zurich, Switzerland October 4, 2022. REUTERS/Arnd Wiegmann/File Photo
ZURICH (Reuters) – Credit Suisse has agreed to pay $495 million to settle a case related to pre-2008 transactions linked to its residential mortgage-backed security (RMBS) business, the bank said on Monday.
The bank said it has reached a final settlement with the New Jersey Attorney General to resolve claims related to more than $10 billion RMBS that were issued.
The attorney general’s office had claimed more than $3 billion in damages in a case which was filed in 2013.
“Credit Suisse is pleased to have reached an agreement that allows the bank to resolve the only remaining RMBS matter involving claims by a regulator and the largest of its remaining exposures on its legacy RMBS docket,” the bank said in a statement.
“The settlement, for which Credit Suisse is fully provisioned, marks another important step in the bank’s efforts to pro-actively resolve litigation and legacy issues.”
