Thefts from customer accounts begin. Bank fails to pick these up, or stop what is happening.
Thefts from customer accounts continue. Bank takes no action.
Thefts from customer accounts continue. Customers sent false reports about investments held and investment values to cover up unlawful activities of the Bank’s employees causing substantial losses on the customer accounts – even without the thefts. Customer instructions are deliberately ignored by Bank employees.
Thefts from customer accounts continue. Unauthorised trading occurs on customer accounts by employees falsifying client instructions and signatures.
Thefts from customer accounts continue. Bank’s compliance team flag issues with certain employees and the desks on which they work, but no corrective action is taken.
Thefts from customer accounts continue. Bank encourages customers to take out multi-million dollar loans to extend the leverage on their accounts and give the Bank greater scope to earn commissions for itself by undertaking trades on those accounts.
Thefts from customer accounts continue. Bank fails to stop its employees from manipulating account data and circulating false performance statements to customers.
Bank encourages customers to inject new money into their Credit Suisse accounts by falsely-representing that its own performance is better than that of other banks. Senior management of the Bank fail to double-check basic figures on customer accounts, and lend their support to false statements relating to them.
Bank finally launches investigation into its employees’ conduct. Relationship manager is fired. Bank demands customers make good shortfalls in their accounts, notwithstanding that those shortfalls were caused by its own employees, as its own investigation shows.
FINMA begins investigation into systems and controls failures at the Bank.
FINMA concludes that Bank’s systems and controls did fail and agrees corrective action which the Bank must take to avoid a repeat of the same illegal activities. Bank is put under supervision of an independent third party to ensure that FINMA’s corrective actions are in fact undertaken by the Bank.