SHAREHOLDER ALERT: Lowey Dannenberg, P.C., Investigates Claims on Behalf of Investors of Credit Suisse and Encourages Investors Who Lost More than $200,000 to Contact the Firm
NEW YORK, May 03, 2021 (GLOBE NEWSWIRE) -- Lowey Dannenberg P.C. is investigating claims of violations of federal securities laws on behalf of investors in Credit Suisse Group AG American Depository Receipts (“ADRs”) (NYSE: CS). If you are an investor in Credit Suisse ADRs with more than $200,000 in losses, you should contact the Firm.
The financial services giant is accused of concealing material defects in its risk policies to allow high-risk clients to take on excessive leverage, including Greensill Capital and Archegos Capital Management. This has exposed Credit Suisse to billions of dollars in losses. Not only did the company conceal these operational landmines from Credit Suisse investors, but they also undertook actions indicating that Credit Suisse securities were substantially undervalued, such as a massive stock buy-back program worth USD $1.6 billion.
In March 2021, Credit Suisse was required to close and liquidate several investment funds tied to the activities of Greensill Capital. The investors in the funds, which totaled assets of approximately $10 billion, lost over $3 billion. A few days later, the meltdown at Archegos, the family run business of investor Bill Hwang, unfolded as some of his biggest wagers started to move against him - positions he built with significant amounts of money. When Credit Suisse and other banks that had extended credit to Archegos saw Hwang's bets turn south, they required the firm to put up more money to cover the decline. When it could not, they began to liquidate Hwang's portfolio, with Credit Suisse sustaining billions of dollars in losses. Following these disclosures, the ADRs lost more than $3 billion in market value.
In April 2021, at least seven top executives were removed from their posts after Credit Suisse reported losses of $4.7 billion linked to its prime brokerage services provided to Archegos Capital. Among others, the Company’s Chairman of the Board has resigned, the Chairman of the Board’s Risk Committee has stepped down, and the Chief Risk and Compliance Officer was terminated.
A class action lawsuit has been filed. The complaint alleges that Credit Suisse ignored numerous red flags in connection with the Greensill funds, and conspired with Bill Hwang to allow Archegos to covertly take on billions of dollars in excessively concentrated and risky positions that injured Credit Suisse and its investors. If you purchased or otherwise acquired Credit Suisse ADRs between October 29, 2020 and March 31, 2021, and wish to participate, learn more, or discuss the issues surrounding the investigation, please contact our attorneys at (914) 733-7228 or (914) 733-7226, or via email at firstname.lastname@example.org. If you suffered a loss in Credit Suisse ADRs you have until June 15, 2021 to request that the Court appoint you as lead plaintiff. Your ability to share in any recovery doesn't require that you serve as a lead plaintiff.
*Whistleblowers: *Persons with non-public information regarding RIDE should consider their options to help in the investigation or take advantage of the SEC Whistleblower program. Under the new program, whistleblowers who provide original information may receive rewards totaling up to 30 percent of any successful recovery made by the SEC.
*About Lowey Dannenberg*
Lowey Dannenberg is a national firm representing institutional and individual investors, who suffered financial losses resulting from corporate fraud and malfeasance in violation of federal securities and antitrust laws. The firm has significant experience in prosecuting multi-million-dollar lawsuits and has previously recovered billions of dollars on behalf of investors.
Lowey Dannenberg P.C.
44 South Broadway, Suite 1100
White Plains, NY 10601
Tel: (914) 733-7228 or (914) 733-7226