Credit Suisse to pay out $77m for nepotism — which is seen as bribery
New York — Credit Suisse Group agreed to pay $47m in penalties to settle a US justice department bribery probe. Federal prosecutors in Brooklyn said that the company’s Hong Kong unit played a role in an attempt to win banking business by offering jobs to friends and family of Chinese officials. In a parallel civil case, settling the government allegations, Credit Suisse agreed to pay the US Securities and Exchange Commission (SEC) about $30m in disgorgement and interest. In a seven-year period, the bank hired more than 100 employees at the request of government officials in the Asia-Pacific region, resulting in millions of dollars of revenue, according to the SEC. Senior Credit Suisse managers tracked the success of these "relationship hires" with a spreadsheet that linked them to specific business deals for the firm. "Bribery can take many forms, including granting employment to friends and relatives of government officials," said Charles Cain, head of the SEC’s enforcement divisio...
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