Mozambique Deal Haunts Resurgent Credit Suisse

Credit Suisse Group AG’s recent shareholder meeting took an awkward turn when a Mozambican activist questioned Chairman Urs Rohner over the bank’s role in fraudulent deals that saddled her country with $2 billion of debt, The Wall Street Journal reported. The confrontation halfway through Friday’s meeting was the latest example of the rising international pressure on Credit Suisse to forgive loans it made to Mozambican state-owned companies engaged in an alleged complex fraud, and potentially, to pay damages to victims. As the bank’s shares surged on strong earnings, Credit Suisse’s top lawyer Romeo Cerutti met privately Monday with the activist, Denise Namburete, and other Mozambican civil-society leaders to discuss the debt crisis that has crippled the East African nation’s economy. Conditions in the country worsened this spring after back-to-back cyclones killed hundreds of people, leaving floods, famine and disease in their wake. Read more