The Swiss bank is adding two more to its upper management including a new top compliance official following several costly missteps.
Zurich-based Credit Suisse is appointing Rafael Lopez Lorenzo (pictured below) and Christine Graeff to its management as of October and February, respectively, it said in a statement on Wednesday. Lorenzo, a 46-year-old Spaniard who is currently its top internal auditor, replaces Lara Warner as compliance chief.
Lorenzo has little to no compliance experience – his background is in auditing and banking. Credit Suisse said he «has played a pivotal role in the review of recent incidents». After Warner stepped down in April amid the «incidents» – Archegos as well as Greensill – Thomas Grotzer had held the role temporarily.
Excoriated For Lapses
Credit Suisse has already hired David Wildermuth from Goldman Sachs to take risk management, the other element of Warner’s previous job. The bank recorded more than $5 billion in losses in dealing with Archegos, failings it made public in an excoriating outside report in July.
Shortly before, it had pulled the plug on a $10.1 billion set of funds co-managed with Greensill. Credit Suisse is now wrangling to recover monies after doubling up «one-bank»-style not just on the now-defunct U.K. supply chain finance firm but also its founder, Lex Greensill, and main client, Sanjeev Gupta.
Flurry Of Activity
Graeff (pictured below), a 48-year-old French-German national, is to advance to human resources chief when the current job-holder, Antoinette Poschung, retires. A veteran of the European Central Bank, Graeff joined the bank as communications chief and deputy head of human resources eight months ago.
The appointments of Lorenzo and Graeff cap a four-month flurry of activity under new overseer António Horta Osório. Credit Suisse has since hired Wildermuth and Joanna Hannaford, who is to join as technology and operating chief in January, for top management.
Last month, Horta Osório enlisted Axel Lehmann, a former UBS board member and executive, to take over Credit Suisse's board-level risk committee. The previous board overseer of risk, Andreas Gottschling, stood down on the day of his reelection.
