Connect with us

Finance

Credit Suisse files five insurance claims on Greensill-linked funds

Credit Suisse files five insurance claims on Greensill-linked funds 1

By Brenna Hughes Neghaiwi

ZURICH (Reuters) – Credit Suisse has filed five insurance claims related to $1.17 billion in exposure across two of its Greensill-linked supply chain finance funds, the bank said on Thursday.

As of Dec. 31, it had filed five claims related to $846 million in exposure for its Luxembourg-based supply chain finance fund, the bank said in a document published on its website, while it has filed two claims for its high-income supply chain finance fund related to $326 million in exposure.

The bank said some of the claims were submitted in relation to both funds. It did not say with whom it had filed the claims.

Switzerland’s second-largest bank has been working to recover assets from the collapse of some $10 billion in funds linked to insolvent supply chain finance firm Greensill.

It has so far recovered some $7.2 billion of the funds.

The bank has been focusing on some $2.3 billion in loans provided by Greensill, which imploded in March, to three counterparties including commodities tycoon Sanjeev Gupta’s GFG Alliance, SoftBank-backed Katerra, and coal miner Bluestone, for which late payments have accrued.

In December, it filed applications seeking information through U.S. courts which could lead to it taking legal action in Britain against SoftBank to recover funds it says are owed in relation to Katerra, which filed for bankruptcy in June. SoftBank has denied https://www.ft.com/content/0014a450-081b-4a8d-b3f5-6bc121bc1212 any wrongdoing.

Along with an application filed in California, the Swiss bank also filed for document discovery in an Arizona federal court, Credit Suisse said on Thursday.

As of Dec. 31, it said a total $2.5 billion in late payments had accrued across its four supply chain finance funds, $2.2 billion of which were related to the three companies.

(Reporting by Brenna Hughes Neghaiwi, editing by Silke Koltrowitz, Michael Shields and Tomasz Janowski)

Editorial & Advertiser disclosure
Our website provides you with information, news, press releases, Opinion and advertorials on various financial products and services. This is not to be considered as financial advice and should be considered only for information purposes. We cannot guarantee the accuracy or applicability of any information provided with respect to your individual or personal circumstances. Please seek Professional advice from a qualified professional before making any financial decisions. We link to various third party websites, affiliate sales networks, and may link to our advertising partners websites. Though we are tied up with various advertising and affiliate networks, this does not affect our analysis or opinion. When you view or click on certain links available on our articles, our partners may compensate us for displaying the content to you, or make a purchase or fill a form. This will not incur any additional charges to you. To make things simpler for you to identity or distinguish sponsored articles or links, you may consider all articles or links hosted on our site as a partner endorsed link.
Global Banking and Finance Review Awards Nominations 2022
2022 Awards now open. Click Here to Nominate

Recommended

Newsletters with Secrets & Analysis. Subscribe Now