Trans-National Securities and Trust
Trans-National Securities and Trust (TNST) operated from the Credit Suisse building in Zurich (Wiedikon). It fraudulently claimed to be a Swiss share broker.
Credit Suisse and TNST sold fake/worthless shares to retail clients. Most investors lost nearly everything.
Banking and securities transactions were executed by Credit Suisse as well as secretly through a Swiss fiduciary owned by Dr Josef Bollag in Zug (Gerom AG).
Refintra AG operated from the same branch of Credit Suisse as TNST. The Credit Suisse branch manager, Chris Sigfried was fired after Swiss TV exposed a scandal where investors lost nearly everything.
We wrote to Credit Suisse and to every member of the Swiss parliament on 6 July 2022.
We warned that this was the last chance for Credit Suisse.
They did nothing in response.
Nine months later, Credit Suisse collapsed as we had warned.
We also requested that they honor their legal obligations regarding TNST:
For the Direct Personal Attention of the Chairman, Mr Axel Lehmann and Board of Directors:
Mirko Bianchi, Iris Bohnet, Clare Brady, Christian Gellerstad, Keyu Jin, Michael Klein, Shan Li, Seraina Macia, Blythe Masters, Richard Meddings, Amanda Norton, Ana Paula Pessoa.
Credit Suisse Group and Credit Suisse
Paradeplatz 8 / P.O. Box 1
Phone +41 44 212 16 16
FORMAL NOTICE of criminal allegations against Credit Suisse management. This directly impacts your personal positions.
Dear sirs and madams,
Our team of experts discovered entrenched criminal structures within Credit Suisse and promptly notified bank management. We immediately offered to share evidence and work with your internal fraud department.
It has been these illegal structures and their related parties which have destroyed CS.
Astonishingly, our offers were refused – even of our expert investigation reports.
We notified Credit Suisse management that we would not stop – and would warn law enforcement, regulators, lawmakers, union representatives, pension funds, media and shareholder representatives.
Our assistance to these parties has contributed to bank losses of at least $14 billion and probably more.
FINMA has been informed. If FINMA refuses to act to give justice and restore the rule of law, it will further incite EU authorities to exclude Swiss banks from the EU system.
Victims of the CS-TNST Embezzlement/Fraud have had their lives destroyed: marriages, families, health, stress-induced illness, and death – because of CS.
Mr Axel Lehmann: You have come to CS with the reputation of a decent person and may be understandably overwhelmed by what you have discovered.
The answer is obvious: a bank must be trustworthy and treat its customers fairly – otherwise it ought to be shut down.
Only our reports can show you how to achieve this quickly and with credibility.
You may be able to claw back billions in undeserved executive compensation.
Why did CS pay Brady Dougan $100 million in 2010?
Total bonus pool was:
• 6.8 billion francs in 2009
• 5 billion francs in 2010
• 3 billion francs in 2011
That’s 15 billion francs of bonuses over 3 years, for people who were (mostly) there when:
• Credit Suisse reported a mega loss of CHF 8.2 billion in 2008.
• Toxic mortgage bond frauds were committed “earning” $5.3 billion penalties
• Criminal tax frauds were committed “earning” $2.6 billion penalties
CS rewarded CEO Brady Dougan with a 34% pay rise in 2012, despite a fall in net profit.
Soon after, the bank was criminally convicted and Dougan was removed.
Very approximately, it suggests 15 billion francs of bonuses were paid for 15 billion francs of losses/penalties leaving the bank worth only 13 billion francs today.
These are the people responsible – to whom you owe no loyalty.
Protecting crime has nearly destroyed the bank. Mr Horta-Osório said it was the worst he had seen. Mr Thiam said he was deceived.
In criminally convicting Credit Suisse, the US DOJ stated the bank “failed to take even the most basic steps to ensure compliance”. Our investigations confirmed this.
We warned the bank in writing that it was misleading its investors and customers making it liable for damages.
Our allegations are based on overwhelming evidence. The bank refused to receive that evidence or to accept our repeated offers to work with the bank’s fraud department to help rectify the dysfunction.
Our warnings of catastrophic consequences for shareholders have proven accurate:
The bank’s shares have lost 97% of their value relative to the S & P 500
Despite massive injections from shareholders, the bank still needs more capital
CS Management did not reply to multiple formal notifications even though, by law, CS is required to guarantee irreproachable business conduct
According to: Article 3c of the Swiss Banking Act and Article 10d of the Swiss Federal Act on Stock Exchanges and Securities Trading (guarantee of irreproachable business conduct in both banking and securities businesses). Many communications and formal notifications were sent including those dated 30 August 2013, December 4, 2014, 6 May 2016, 24 April 2017, 29 April 2021, 20 July 2021 and 3 November 2021.
At a face-to-face meeting in Zurich, I personally warned your legal department of the bank’s illegal and likely criminal acts but was forbidden to continue that conversation.
I offered to show documents substantiating my allegations, but my offer was refused.
A short time later we discovered that Credit Suisse Zurich had hacked into our website and had stolen nearly all the confidential documents. We interpreted this as spying intended to discern how much we knew of the criminal activity in the bank.
We notified FINMA via their independent investigation. Soon after, former Chairman Urs Rohner resigned, but only after he had tried to block a subpoena of his mobile phone records, even to the Swiss Supreme Court (Lausanne) – but lost every time.
We formally notified Credit Suisse Senior Management of this and other serious misconduct. Mr Conrad Fritzsche and Dr. Reto Kühne of Credit Suisse General Counsel Division replied 4 months later with a brief note claiming – without justification – there was no wrong-doing by the bank and requested that no further evidence of the alleged serious criminal misconduct be sent.
This written refusal to receive evidence of crime in the bank represents “wilful ignorance” or “deliberate blindness” of the alleged misconduct
Since we possess documented proof, the bank’s spying and untruthful responses acted as a confirmation of illegal acts, of the bank’s knowledge of them and of disregard for the law.
Should such a bank be allowed to operate? Cleary not, unless it provides fair redress.
CS has abused victims of the CS-TNST Embezzlement/Fraud.
At another meeting in Zurich, I personally warned your legal department of the bank’s abuse of compliance especially in money laundering. Soon after the meeting, I met with the New York FBI to share my findings.
This letter removes ignorance as a possible excuse for inaction or inadequate action.
Please reply urgently. Your reply or lack of reply may be sent to government officials, law enforcement, regulators, lawmakers, union representatives, pension funds, media and shareholder representatives (including those engaged in litigation against the bank).
Dr Paul Morjanoff