U.S. authorities are seeking evidence from Credit Suisse to assess whether the bank misled investors about its financial health as it teetered towards a state-backed rescue by UBS six months ago, Reuters reported. Credit Suisse "has received requests for documents and information" from agencies including the U.S. Securities and Exchange Commission, the U.S. Justice Department and Swiss regulator FINMA, UBS said in a financial filing on Aug. 31. In the note, part of UBS's 124-page second-quarter report, UBS also said that three U.S. class-action lawsuits had been filed against Credit Suisse, as well as current and former directors, alleging misleading statements about customers withdrawing cash in late 2022.Credit Suisse, which is now part of UBS, is cooperating with the authorities, UBS added in the filing. UBS swept in to salvage its rival in March in a government orchestrated rescue after tens of billions of dollars left Credit Suisse amid a crisis of confidence in a market already rattled by a collapse of some regional U.S. lenders. The biggest banking deal since the global financial crisis created a lender with a balance sheet of $1.7 trillion. The inquiries now highlight a potential risk of fines and penalties for UBS.
