Credit Suisse lost $5.5 billion on criminal-run hedge fund, also pleaded guilty in “tuna bond scam” and was convicted in scheme involving cocaine money laundering – NaturalNews.com
Written by GRB on 19/03/2023
Despite only just recently capturing headlines for its likely soon collapse, the ongoing stock selloff of the company actually began back in March 2021 following the collapse of the United Kingdom’s Greensill Capital and the United States investment fund Archegos, both to which Credit Suisse had exposure.
The Greensill Capital collapse shaved $10 billion off of Credit Suisse’s books, while the Archegos collapse trimmed another $5.5 billion in losses. The latter company’s manager, in case you did not know, had previously pleaded guilty to wire fraud.
That same year, Credit Suisse entered a guilty plea in the U.S. over the so-called “tuna bond fraud.” The failing bank also received a criminal conviction in Switzerland last year for failing to stop a money-laundering scheme involving a Bulgarian cocaine trafficking ring.
When asked by one media source for a comment about all these scandals, Credit Suisse, headquartered in Zurich, referred the outlet to statements recently made by company CEO Ulrich Koerner who said:
“My team and I are resolved to move forward rapidly to deliver a simpler and more focused bank built around client needs.”
(Related: If Credit Suisse implodes, which seems likely even with a temporary bailout, the ripple effect around the world will be massive – far greater, in fact, than the contagion that was sparked by the mid-sized Silicon Valley Bank [SVB].)
Injecting more artificial liquidity in failing banks exacerbates inflation while kicking the can of financial disaster down the road
The latest news about Credit Suisse is that it will “borrow” up to $54 billion from the Swiss central bank in an attempt to shore up liquidity. This will work for a while, perhaps, but it is just another can kick away from the inevitable.
Koerner continues to claim that Credit Suisse is “a strong bank” that has a “very strong” liquidity basis. Fake president Joe Biden is saying the same things about SVB, Signature Bank, and the rest of America’s failing banking apparatus, which is also teetering on the brink.
Credit Suisse’s stock has fallen to an all-time low amid all the melee as investors see the writing on the wall. The powers that be will continue to spew empty rhetoric about how everything is just fine, but investors and depositors are wisening up to the scam.
On Tuesday, Credit Suisse announced that it had identified certain “material weaknesses” in its internal controls over financial reporting. Customer outflows have supposedly “stabilized,” but “had not yet reversed,” the company indicated using tricky language.
Credit Suisse’s largest shareholder, Saudi National Bank, announced that it will not be able to provide any more support to the failing bank due to regulatory constraints. This caused Credit Suisse’s share price to plummet by as much as 30 percent the following day.
Swiss authorities, meanwhile, are reassuring the public that Credit Suisse still meets “the capital and liquidity requirements imposed on systemically important banks.”
To clarify, SVB, Signature Bank, and the others that have already collapsed here in the states are not systemically important banks in the same way as Credit Suisse, at least not all on their own. The problem is that all these banks share the same exposure, in many cases, so when one of them falls, they all eventually do just like dominoes.
How much longer do you think the current global economic order has before all this artificial propping-up is no longer enough to keep the house of cards from falling?
Modern finance is a criminal Ponzi scheme controlled by usurious crooks who steal from working people and suck the lifeblood out of economies. To learn more, visit Bubble.news.
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