The Swiss bank appears to have another case of an allegedly fraudulent private banker on its hands. The damage is $11 million.
Credit Suisse sacked a private banker in Zurich after accusing the person forged paperwork in connection with a wealthy African client, «Bloomberg» (behind paywall) reported on Friday. The alleged scheme led to a 10 million Swiss franc ($11 million) loss when the Swiss bank uncovered it earlier this year, the newswire said, citing sources familiar with the events.
The bank told the outlet «a small number of clients were affected by unauthorized actions of a client adviser» in the first quarter. «Credit Suisse took appropriate legal measures and informed the affected clients and relevant regulators.»
Parallels to Geneva?
The newswire draws parallels to Patrice Lescaudron, an ex-Credit Suisse private banker in Geneva convicted of a fraud scheme in 2018. The Frenchman, who reportedly died by suicide earlier this month, had forged signatures and faked trades to cover rising client losses. The bank is still in courts as a result of the scandal.
This year's case took place in a unit devoted to Indian non-resident wealthy as well as to sub-Saharan Africa, led by Raj Sehgal, a 14-year veteran of Credit Suisse. Sehgal is one of eight key deputies to overall private banking head Philipp Wehle.
