The Swiss parliament will investigate the financial breakdowns of the bank Credit Suisse with regard to investor Archegos and financing company Greensill Capital, reports the Swiss newspaper
According to a member of parliament of the Swiss Social Democrats, hearings of a special economic committee will take place Monday and Tuesday.
Among other things, it will be examined whether the supervision of the bank should be tightened.
Due to the stock market scandal surrounding Archegos and the demise of the financing company Greensill Capital, Credit Suisse suffered billions in losses.
Switzerland's second largest bank acted as intermediary for the American hedge fund Archegos.
The fund took large financial risks on the stock market, which led to large losses.
Of the more than 20 billion dollars (about 16.4 billion euros) that Credit Suisse had outstanding with the fund, at least 5.5 billion dollars will not be returned, the business newspaper
The Wall Street Journal wrote
In addition, Credit Suisse was discredited because the bank joined forces with the now bankrupt Greensill Capital.
The Swiss bank would have been warned several times about the economically bad position of the financing company.
In this case, too, the loss is in the billions.
Several top executives at the bank have had to leave the field because of the debacles and a lawsuit is now pending against the group.
CEO Thomas Gottstein has said the matters have caused great concern among shareholders and other stakeholders at Credit Suisse.
Credit Suisse has been discredited before
It is not the first time that Credit Suisse has been discredited.
For example, the Swiss bank made the news in 2019 due to various espionage scandals.
The bank is said to spy on a number of former employees.
In addition, the bank had to pay hundreds of millions of euros last year because of a settlement in the US.
That case involved messing around with mortgages in the period around the financial crisis in 2008.