Credit Suisse Conned Out of $US11 million
(28 August 2020 – Europe) Counterfeit client documentation on an over-the-counter contract has caused Credit Suisse’s wealth management unit to lose $US11 million. This occurred two years after the bank was scrutinised by regulators for the lack of appropriate due diligence and control over similar issues.
Credit Suisse have promised to restructure the risk function of the bank to improve better financial crime visibility and oversight. However, this will not remediate some of the reputational damage caused.
“It has now become increasingly more difficult for banks to detect suspicious financial activity or fraudulent documentation. It is therefore paramount for banks to utilise technology-based solutions to combat this problem more effectively” commented East & Partners Europe Market Analyst, Pierre Sokoya.