The ailing Swiss lender has infuriated Greensill clients by saying that it might not make up for their Greensill losses.
Credit Suisse said last week that it would be unable to pay the outstanding $2.7 billion dollars owed to 1,200 Greensill investors for at least another five years, if at all, the «Financial Times» (behind a paywall) reports, citing people familiar with the matter.
Since the Greensill supply chain funds collapsed last year, the bank has returned $6.7 billion to investors with a further $600 million held in cash, but the next phase of the process is marked by «tortuous debt renegotiations, lengthy legal cases, and disputed insurance claims,» the report writes.
Fury Among Clients
The move has provoked fury among clients, yet the report adds that to avoid setting a precedent, Credit Suisse decided not to make up for the shortfall.
Investors held around $10.1 billion in Greensill Supply chain funds when they were closed in March following the collapse of Greensill Capital which used money from the funds to lend to its clients.
