The Hindu Business Line : Credit Suisse clients may have lost £640 mn with Madoff

LONDON: The clients of Swiss banking major Credit Suisse could have lost nearly one billion Swiss Franc (about £640 million) which they had invested with Wall Street trader Bernard Madoff alleged of committing $50 billion fraud.

“Clients of Credit Suisse could have lost as much as Swiss Franc 1 billion (£640 million) that they had invested with Bernard Madoff,” The Times reported attributing to internal forecasts.

Madoff has been alleged of committing a $50-billion fraud by running a 'ponzi' scheme - where investors are paid from the funds received from subsequent clients.

UBS, a Credit Suisse rival that is based in Switzerland, is said to have invested $1.4 billion (about £960 million) in Madoff's funds, the report added.

“It has been reported that investigators could be looking into whether Mr Madoff salted away money in offshore accounts,” The Times said. The report noted that a judge in New York ruled last week that Madoff's investors would receive a maximum of $100,00 0 in compensation, no matter how much they had lost.

Claims for compensation would also be restricted to investors who can prove that they sent money to Madoff in the year before his arrest on December 11, it added. - PTI

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