ZURICH (Reuters) - Credit Suisse Group AG does not expect a “material” impact from a wide-ranging regulatory probe into allegations of interest rate rigging, which also includes Swiss rival UBS AG as well as many other global banks.
“While these issues are complex and the regulatory reviews of the industry are ongoing, we do not currently believe that Credit Suisse has any material issues in this matter,” Credit Suisse spokesman Marc Dosch said.
The comment comes after the New York Times reported on Saturday that the U.S. Justice Department is building criminal cases against several banks, following a $450 million settlement with Barclays Plc over the manipulation of the London Interbank Offered Rate, or Libor.
Credit Suisse, a member of dollar, euro and Swiss franc Libor-setting panels, reiterated that it is cooperating with the various regulatory probes into the rate-setting allegations.
Analysts from Morgan Stanley last week predicted the Libor scandal would cost a group of 11 global banks as much as $14 billion in regulatory and legal settlement costs through 2014.
Based on the settlement struck by Barclays, which chose to come clean about Libor fixing and settle ahead of rivals still under investigation, Morgan Stanley estimated Credit Suisse and UBS could each face fines of between 446 million francs ($454.73 million) and 827 million.
UBS said on Friday it had not given guidance on possible fines it could pay in the Libor probe. ($1 = 0.9808 Swiss francs)
Reporting by Katharina Bart; Editing by David Holmes