LONDON Nov 28 Former Credit Suisse
trader Kareem Serageldin expects to reach a plea agreement with
the U.S. government over allegations of a $3 billion fraud
involving subprime mortgage bonds, a British court heard on
He is the most senior banker charged in a scandal dating
back to 2007, in which mortgage-backed securities traders were
caught trying to cover up losses on their books, prosecutors
Serageldin, 39, appeared at Westminster Magistrates' Court
for a short hearing as part of extradition proceedings. The case
was adjourned until Jan. 14 next year.
The U.S. has been seeking his extradition since his arrest
in Britain two months ago.
The Egyptian-born Serageldin, former global head of
structure credit trading for Credit Suisse, spoke only to
confirm his age and name in court on Wednesday. He is free on
bail pending the outcome of the extradition process.
His lawyer Ben Brandon told the court that Serageldin was in
negotiations with the U.S. Department of Justice towards an
"The expectation is that the discussions will be fruitful,"
Brandon said. "I am able to say that a final reply is awaited."
Brandon suggested that if the response from Washington was
as hoped and expected, the extradition proceedings would no
longer be necessary.
The court will hear an update on the negotiations at the
Two other Credit Suisse employees pleaded guilty in a U.S.
federal court in February to criminal charges of conspiracy to
commit wire fraud and falsify books and records, making it the
first successful U.S. prosecution of employees of a major bank
involved in the subprime meltdown of 2007-08.