Credit Suisse Pays $196.5 Million, Admits Wrongdoing in SEC Settlement
(Reuters) - Credit Suisse Group AG agreed to pay $196.5 million and admit wrongdoing to settle U.S. Securities and Exchange Commission charges that it provided cross-border brokerage and investment advisory services to U.S. clients without first registering with the regulator.
The admission of wrongdoing was the fifth since last June, when SEC Chair Mary Jo White modified the regulator’s decades-old practice of letting defendants settle cases without admitting or denying wrongdoing. The SEC now requires admissions in a broader array of cases.
“Broker-dealer and investment adviser registration provisions are core protections for investors,” Andrew Ceresney, director of the SEC enforcement division, said in a statement on Friday. “As Credit Suisse admitted as part of the settlement, its employees for many years failed to comply with these requirements, and the firm took far too long to achieve compliance.”
In settling SEC civil administrative proceedings, Credit Suisse agreed to pay $82.2 million representing income from its cross-border business, $64.3 million of interest and a $50 million fine.
More: Credit Suisse Pays $196.5 Million, Admits Wrongdoing in SEC Settlement