(Reuters) - UBS said on Monday that Credit Suisse Services will pay $511 million after reaching an agreement with the U.S. Department of Justice for its implementation of its 2014 guilty plea in tax
Credit Suisse Agrees to $511 Million Settlement in Tax Case
(Reuters) -UBS said on Monday Credit Suisse Services will pay $511 million as part of an agreement with the U.S. Department of Justice for implementation of its 2014 plea around helping ultra-wealthy Americans evade taxes.
The settlement comes after a U.S. Senate Finance Committee in 2023 had found Credit Suisse violated its 2014 deal made with U.S. authorities by continuing to help with the tax evasion and concealing more than $700 million from the government.
UBS said it was not involved in the underlying conduct, which began before its acquisition of Credit Suisse in 2023.
The Swiss lender had accounted for the issue as a contingent liability when acquiring Credit Suisse, and expects this to be partially released as a credit in the second quarter.
Simultaneously, the bank also expects to record a charge related to the payment in the quarter.
In 2014, Credit Suisse became the largest bank in 20 years to plead guilty to a U.S. criminal charge, agreeing to pay a $2.5 billion fine for helping Americans evade taxes in a conspiracy that spanned decades.
(Reporting by Urvi Dugar; Editing by Leroy Leo)
