Credit Suisse’s suspended supply-chain finance fund had ীব 1.2 billion in contact with Sanjeev Gupta’s steel empire, the bank said for the first time on Tuesday, promising to take legal action to protect investors’ interests.
The four supply-chain finance funds of Swiss lenders had a total assets of 10 10 billion when they were frozen on March 1. Their suspension helped bring down the controversial supply chain financing firm Greensil Capital and cut off the edge of Gupta’s GFG alliance.
As well as the ২ 1.2 billion exposure for GFG, Credit Suisse said its funds were 90 90,090 million to Bluestone Resources, a coal mining business founded by West Virginia Governor Jim Justice, and 404 to Softbank-backed U.S. Caterer. Team.
Of the four supply-discipline funds, তিনটি 2.3 billion is for exposure to three companies.
The Financial Times reported earlier Credit Suisse Heads calculated total losses Funds from supply-chain finance could be as high as bn 3bn but some assets were more likely to be close to bn 1bn and $ 1.5bn after refunds, other assets were recovered in the courts and after insurance payments were made.
Credit Suisse’s asset management arm is in talks with Greensil’s administrators, Grant Thornton, and is “directly involved with potentially damaging liabilities and other creditors,” the bank said Tuesday.
It added: “Credit Suisse Asset Management will consider appropriate legal action to protect the interests of funders.”
Credit Suisse has announced that it has raised 2 2 billion from the fund’s credit payers since the suspension and is distributing 1. 1.7 billion among investors. This brings the total payment to 8 4.8 billion. More than a thousand investors are stuck in the fund.
Credit lenders other than GFG, Bluestone and Caterra are “pulling their heels” on the payment of credit Swiss funds, a person told FT last month, briefing them on the recovery process.
Last week, the FT reported that part of the GFG was based on several loans from Liberty Commodities. Run the suspect And Credit Suisse executives are increasingly concerned that their clients have been deceived.
Several European metals businesses told the FT last week that they had no business with Gupta groups, even though they were re-credited as Greensil notes and had no business with Gupta groups despite being sold to Credit Suisse investors.
The GFG said last week that financial institutions with many of Greensil’s clients, including a few GFG Alliance companies, had potentially acceptable programs, sometimes described as “acceptable in the future”.
Gupta also denied that he had any debts to Greensil Due to payment. He said it was “meaningless” for a credit payer to “destroy a job but reduce a significant value” because that was the price that would pay them back.
Bluestone was one of Greensil’s biggest clients and said it was “unable” to repay the Credit Suisse.
Last month the judge, a 69-year-old businessman and Republican politician, launched Legal action Against Greensil in Manhattan federal court, the lawsuit alleges his coal mining empire was threatened because it caused “sudden and unjustified abandonment” of the financial institution.
Credit Suisse executives do not expect Katera to receive 4 40,440 million. Softbank sent remittances to Greensil last year in Katarara, but that was not the case Not reached Credit Suisse Fund, FT reported last month
Meanwhile, influential proxy adviser Glass Lewis on Tuesday advised Credit Suisse shareholders to vote against the re-election of Andreas Gotsling, who has served as chairman of the board’s risk committee since 2013, at the April 30 AGM.
Glass Lewis said that due to the suspension of supply-chain finance and the individual losses involving the family office Archegos, “there are significant doubts about the effectiveness of the company’s board oversight. Risk and control structures”
It added: “Shareholders will also be cautioned to hold the board’s risk committee accountable. As chairman of this committee, we believe that nominee Andreas Gottschling holds ultimate accountability at the board level.”