Parliament to investigate Credit Suisse’s downturn

A special committee of the Swiss parliament is going to investigate in depth the demise of Credit Suisse and the rescue of the bank by the larger Swiss industry partner UBS. Among other things, it will look at the role of the government, the central bank and Switzerland’s financial regulator in the rescue of Credit Suisse in March this year.

It will also look at the problems in previous years at Credit Suisse that led to the bank’s demise, according to a statement from parliament. “Given the scale of the events and the financial impact, it is imperative that this committee be established.”The commission will be given special powers with subpoenas for interrogation and access to government documents.

The crisis surrounding Credit Suisse and the rescue of Switzerland’s Second bank have led to fierce criticism among the population and in politics. Credit Suisse has been plagued by a series of scandals for some time. To avoid a major crisis in the Swiss and global banking sector, the bank was bailed out by UBS during a hectic weekend in March under heavy government pressure. In addition, Switzerland offered billions in guarantees.

Louise Roth is the youngest member of WeeklyNewsReview team. Despite the young age Louise is interested in serious topics. Her main interests and education is all about economics and politics. But in our team she is the most productive do-it-all member, so she has to write on a variety of topics.