Three former Credit Suisse Group AG bankers were arrested Thursday in London in connection with a $2 billion fraud scheme, according to a statement by the U.S. Department of Justice.
The U.S. has charged the bankers, the former finance minister of Mozambique and an executive of Privinvest Group with engaging in bribes and kickbacks of at least $200 million to enrich themselves and Mozambique government officials.
The alleged co-conspirators diverted the money from $2 billion of debt deals Credit Suisse
CS, -0.82%
and other banks arranged for Mozambique government-owned companies in 2013 and 2014, according to a grand jury indictment filed by the U.S. District Attorney for the Eastern District of New York.
“No action has been taken against Credit Suisse,” a spokeswoman for the bank said. “The indictment alleges that the former employees worked to defeat the bank’s internal controls, acted out of a motive of personal profit and sought to hide these activities from the bank.”
An expanded version of this report appears on WSJ.com.
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