Credit Suisse pays US$77 million to settle US probes ‘after it bribed Chinese officials by offering their families jobs’
The bank tried to win business by awarding jobs to friends and family of Chinese government officials
Credit Suisse Group has agreed to pay about US$77 million to settle US criminal and civil probes into its Asia-Pacific hiring practices, including efforts to win banking business by awarding jobs to friends and family of Chinese government officials.
The Swiss bank agreed to a US$47.03 million criminal fine and to enter a non-prosecution agreement under a settlement with the US Department of Justice announced on Thursday.
Credit Suisse will also pay US$29.82 million to settle related claims by the US Securities and Exchange Commission.
US authorities accused Credit Suisse of violating the Foreign Corrupt Practices Act, an anti-bribery law, by hiring and promoting people linked to government officials between 2007 and 2013 in an effort to win business.
The authorities said the people hired were often less qualified than others who lacked such ties, and that the quid pro quo arrangements bypassed Credit Suisse’s normal hiring process.
Credit Suisse said it was pleased to settle, and has upgraded its internal compliance procedures and controls. It had disclosed the expected Justice Department settlement last month.