LONDON (Reuters) -Credit Suisse on Wednesday lost its $440 million London lawsuit against Japan's SoftBank Group Corp over losses linked to collapsed finance firm Greensill Capital. Greensill's
Credit Suisse's $440 Million Lawsuit Against SoftBank Dismissed
Credit Suisse vs. SoftBank: Case Overview
LONDON (Reuters) -Credit Suisse on Wednesday lost its $440 million London lawsuit against Japan's SoftBank Group Corp over losses linked to collapsed finance firm Greensill Capital.
Greensill's collapse made Credit Suisse close $10 billion of funds linked to the financial firm and, along with other scandals, led to the 2023 state-backed rescue of the 167-year-old Swiss bank by rival UBS Group.
UBS pursued the case against SoftBank, with a trial heard at London's High Court in June. Judge Robert Miles said in a written ruling that he had dismissed the lawsuit.
Background on Greensill Capital
The case, which centred on funds Greensill lent to Katerra, a SoftBank-backed U.S. construction group, was the latest concerning Greensill's demise, which caused heavy losses for investors and prompted lawsuits and regulatory probes.
Details of the Lawsuit
Credit Suisse alleged that Greensill, at SoftBank's behest, gave up rights to Katerra's debts in return for shares which it then passed on to a SoftBank Group entity, leaving Credit Suisse out of pocket in relation to $440 million of notes.
Court's Ruling and Implications
But Miles said in a summary of his ruling that SoftBank "believed in good faith" that the $440 million would be used to pay noteholders.
(Reporting by Sam Tobin; editing by Sarah Young)
