Credit Suisse loses Singapore case with Georgian tycoon
The ruling marks another major setback for Credit Suisse after the loss to Ivanishvili in Bermuda court.
Keystone / Str
A Credit Suisse Group AG unit was ordered by a Singapore court to compensate billionaire Bidzina Ivanishvili what may be hundreds of millions of dollars, in yet another blow for the bank in the long-running legal saga.
This content was published on
2 minutes
Bloomberg with assistance from Patrick Winters
Русский
ru
В Сингапуре завершен процесс Credit Suisse против Бидзины Иванишвили
Singapore-based Credit Suisse Trust Ltd. breached its duty to the plaintiffs in failing to safeguard the trust assets, according to a judgment posted on Friday. The court assessed his damages at $926 million, minus deductions for an earlier $79.4 million settlement. The amount could be further subject to change “so as to ensure there is no double recovery” given that a Bermuda court last year awarded Ivanishvili more than $600 million in damages in the case.
“The loss suffered by the plaintiffs is the difference between what would have been achieved if the whole portfolio had been removed and managed by a competent, professional trustee and the trust assets were not affected by fraud, and what was actually achieved,” Judge Patricia Bergin wrote in her 248-page verdict.
“The judgment published today is wrong and poses very significant legal issues,” a spokesperson for Credit Suisse said in an e-mailed statement, adding the trust intends to “vigorously pursue an appeal.” A spokesman for Ivanishvili was not immediately available to comment.
The ruling marks another major setback for Credit Suisse after the loss to Ivanishvili in Bermuda court, a conviction for money-laundering in Switzerland and a raft of other scandals that undermined investor confidence in the bank. The bank had to accept a government-brokered takeover by larger rival UBS Group AG, which is expected to close soon.
The judgment highlighted the trust’s failure to prevent private banker Patrice Lescaudron from having any further access to the Trust assets. Lescaudron was convicted in 2018 for fraud over a scheme he ran to take money from Ivanishvili’s accounts to cover growing losses among other clients’ portfolios.
If the parties are unable to reach agreement on costs and or interest, they should file an agreed timeline for submissions on this matter by no later than June 30, according to the judgment.
Cavinder Bull from Drew & Napier LLC was lead counsel for Ivanishvili. Lee Eng Beng from Rajah & Tann and Allen & Gledhill LLP represented the trust.
Bodycams: essential for good law enforcement, or a privacy risk?
Did you ever come across bodycams in your place of residence and if so, how do you think the use of bodycams alter the relationship between the public and (transport) police?
This content was published on
Swiss wheelchair racer Catherine Debrunner won the 5,000 metres to bring home Switzerland’s first gold medal at the Paralympics in Paris.
If you want to start a conversation about a topic raised in this article or want to report factual errors, email us at english@swissinfo.ch.
Read more
More
Credit Suisse loses case over banker who stole from billionaire clients
This content was published on
Former Georgian prime minister Bidzina Ivanishvili has won a long-running battle with Credit Suisse to reclaim funds stolen by a former employee.
You can find an overview of ongoing debates with our journalists here . Please join us!
If you want to start a conversation about a topic raised in this article or want to report factual errors, email us at english@swissinfo.ch.