A Swiss top court on Wednesday acquitted Credit Suisse, now part of UBS, of failing to prevent money laundering by a Bulgarian cocaine trafficking ring, overturning a 2022 conviction.
The original ruling of the Federal Criminal Court was considered a test for the prosecution of the banks.
It found a former employee of the bank guilty of money laundering, and also found that Credit Suisse failed to do enough to prevent the gang from laundering profits through the bank from 2004 to 2008.
The former employee died in April 2023; Her heirs and the bank filed an appeal in November.
The Federal Court Appeals Chamber said in a statement that given the woman's death, it was not possible to examine the alleged breach of criminal law without violating the presumption of innocence in her case.
She added: “For this reason, the bank was acquitted and the compensation request imposed on it was cancelled.”
In 2022, Credit Suisse was fined 2 million Swiss francs ($2.3 million).
The court also ordered the confiscation of assets worth more than 12 million francs that the gang held in Credit Suisse accounts, and ordered the bank to pay compensation in excess of 19 million francs, the value of the gang's assets that cannot be confiscated. Due to a deficiency in the bank.
Credit Suisse collapsed in March 2023 after a series of scandals and setbacks, and was taken over by UBS.
UBS welcomed the ruling, noting that the case was a legacy matter involving Credit Suisse.
“Following an appeal by the Swiss Federal Prosecutor’s Office, the ruling brings this legal case to a close,” UBS said in a statement.
The prosecutor's office said it would analyze the results and then decide on the appropriate action. ($1 = 0.8832 Swiss francs)
