Switzerland's second-biggest bank has agreed to pay a hefty amount to Italian authorities to settle allegations it helped clients move undeclared assets offshore, according to a report by «Reuters».
Credit Suisse (CS) agreed in principle to pay 100 million euros to the Italian state to end the tax dispute, «Reuters» reported, citing an unidentified source. The bank didn't comment the report, the news agency said.
Investigation Remains Open
Italy alleged that CS helped customers move as much as 14 billion euros to offshore accounts with the help of insurance policies. The investigation by the Milan prosecution targeted bank employees, consultants and wealthy Italian customers. The bank however can also be held liable in Italy if it failed to prevent a crime that benefited the company, according to «Reuters».
The agreement hasn't been finalized yet and the investigation therefore remains open.
Ticino-Lawsuit
Separately from the Milan investigation, Italian customers in the Swiss canton of Ticino had filed a lawsuit against CS on grounds of violating the country's banking secrecy laws as well as breaking a business secret. They say that the bank wrongfully passed on their personal data to Italian authorities. They also claim that CS hadn't informed them properly about the risks involved in moving their assets offshore and the are now demanding a refund covering the difference between what the Italian authorities are asking them to pay and what they would have had to pay if they made a voluntary declaration.
