Credit Suisse investors have been busy filing lawsuits against the Swiss financial regulator over losses resulting from the forced takeover, now employees could also be taking legal action.
Thousands of senior Credit Suisse bankers whose bonuses were partially linked to the bank’s additional tier 1 bonds (AT1), which were wiped out as a condition of its forced takeover, are considering suing financial regulator Finma, «FT» (behind paywall) writes Monday, citing people familiar.
Managing directors and directors have lost $400 million worth in bonus payments linked to AT1 bonds, which made up to 15 percent of their total bonus and vested after three years.
More than 5,000 Credit Suisse staff were granted such bonuses last year, it added. The securities were first included in the bank's bonus composition in 2014, the report added.
