Credit Suisse (now in Ubs) has agreed to pay 269 million dollars to the US Federal Reserve and 87 million pounds to the British authority, for the Archegos case. In total it is 388 million dollars. The enforcement procedure had been launched by the Swiss Financial Market Supervisory Authority (FINMA) in 2021. UBS, which since last spring has taken over the activities of Credit Suisse by rescuing the second Swiss bank from the shame of bankruptcy, has reached an agreement on the Archegos case. The management ofhedge funds by Credit Suisse will cost the number one Swiss bank a total of 388 million dollars, to be paid to the US Federal Reserve (Fed) and the British supervisory authority.
The executive procedure launched by the Swiss Financial Market Supervisory Authority (FINMA) in 2021 against the bank - purchased last June 12 by UBS - ends with this agreement, FINMA itself indicated. Both the Federal Reserve and the FINMA had ordered corrective measures relating to the management of credit, liquidity and non-financial risks. Along with paying the fine, the Fed has asked Credit Suisse to improve its risk management practices, while it is taking protective action in cooperation with the Swiss Financial Market Supervisory Authority and the Bank of England's Prudential Regulation Authority. At the end of March 2021, the US hedge fund Archegos Capital Management, founded by financier Bill Hwang, was forced into liquidation and the Swiss bank was heavily involved in the fund's risky operations.