• Contact
Saturday, September 23, 2023
  • Login
The African Business - News About African business
  • Home
  • EconomyNew
    Nigeria finance minister blames Naira’s dive on overdue payments

    Nigeria finance minister blames Naira’s dive on overdue payments

    Angola Oil & Gas (AOG) 2023 Explores Mobilizing Capital for Angola’s Infrastructure

    Angola Oil & Gas (AOG) 2023 Explores Mobilizing Capital for Angola’s Infrastructure

    Timeline: Nigeria's electricity grid collapsed 46 times from 2017 to 2023

    Timeline: Nigeria’s electricity grid collapsed 46 times from 2017 to 2023

    Trending Tags

  • Business
    Virgin Active to expand office space and meeting rooms in gyms

    Virgin Active to expand office space and meeting rooms in gyms

    Dangote, Bua show grit amid global sugar crises

    Dangote, Bua show grit amid global sugar crises

    800 million+ carats of diamonds in Angola reserves

    800 million+ carats of diamonds in Angola reserves

    Hindenburg 2.0? George Soros-backed group plans 'expose' on Indian firms: Report

    Hindenburg 2.0? George Soros-backed group plans ‘expose’ on Indian firms: Report

    Viktor Bout still has his eye on Africa

    Viktor Bout still has his eye on Africa

    SADC countries may benefit from ANGOSAT 2

    SADC countries may benefit from ANGOSAT 2

    US puts $235m in startup making low-emission jets

    US puts $235m in startup making low-emission jets

    Amazon opens its first African AWS Skills Center in South Africa

    Amazon opens its first African AWS Skills Center in South Africa

    Kenya: BasiGo launches its new “E9 Kubwa” electric bus model

    Kenya: BasiGo launches its new “E9 Kubwa” electric bus model

  • Finance
    Nigeria asks banks to save forex gains amid currency risks

    Nigeria asks banks to save forex gains amid currency risks

    PayPal finally launches Apple Pay support for its credit and debit cards

    PayPal finally launches Apple Pay support for its credit and debit cards

    TLG Capital launches ₦2.25B collateralized credit facility for OnePipe

    TLG Capital launches ₦2.25B collateralized credit facility for OnePipe

    Silicon Valley Bank: Global bank stocks slump despite Biden reassurances

    Silicon Valley Bank: Global bank stocks slump despite Biden reassurances

    [Kenya] Digital credit provider Tala disbursed Sh240 billion in loans in eight years

    [Kenya] Digital credit provider Tala disbursed Sh240 billion in loans in eight years

    Digital banking revolution can help SA banks regain their customers’ love, says BCG

    Digital banking revolution can help SA banks regain their customers’ love, says BCG

    Nigeria launches payments card program to rival Visa and Mastercard

    Nigeria launches payments card program to rival Visa and Mastercard

    Mastercard and ZoodPay join forces to launch the first virtual installment card across EEMEA

    Mastercard and ZoodPay join forces to launch the first virtual installment card across EEMEA

    MoneyGram joins forces with BOTIM to launch international money transfer to over 200 countries

    MoneyGram joins forces with BOTIM to launch international money transfer to over 200 countries

  • Opinion
  • Lifestyle
  • Sports
  • Green Economy
No Result
View All Result
  • Home
  • EconomyNew
    Nigeria finance minister blames Naira’s dive on overdue payments

    Nigeria finance minister blames Naira’s dive on overdue payments

    Angola Oil & Gas (AOG) 2023 Explores Mobilizing Capital for Angola’s Infrastructure

    Angola Oil & Gas (AOG) 2023 Explores Mobilizing Capital for Angola’s Infrastructure

    Timeline: Nigeria's electricity grid collapsed 46 times from 2017 to 2023

    Timeline: Nigeria’s electricity grid collapsed 46 times from 2017 to 2023

    Trending Tags

  • Business
    Virgin Active to expand office space and meeting rooms in gyms

    Virgin Active to expand office space and meeting rooms in gyms

    Dangote, Bua show grit amid global sugar crises

    Dangote, Bua show grit amid global sugar crises

    800 million+ carats of diamonds in Angola reserves

    800 million+ carats of diamonds in Angola reserves

    Hindenburg 2.0? George Soros-backed group plans 'expose' on Indian firms: Report

    Hindenburg 2.0? George Soros-backed group plans ‘expose’ on Indian firms: Report

    Viktor Bout still has his eye on Africa

    Viktor Bout still has his eye on Africa

    SADC countries may benefit from ANGOSAT 2

    SADC countries may benefit from ANGOSAT 2

    US puts $235m in startup making low-emission jets

    US puts $235m in startup making low-emission jets

    Amazon opens its first African AWS Skills Center in South Africa

    Amazon opens its first African AWS Skills Center in South Africa

    Kenya: BasiGo launches its new “E9 Kubwa” electric bus model

    Kenya: BasiGo launches its new “E9 Kubwa” electric bus model

  • Finance
    Nigeria asks banks to save forex gains amid currency risks

    Nigeria asks banks to save forex gains amid currency risks

    PayPal finally launches Apple Pay support for its credit and debit cards

    PayPal finally launches Apple Pay support for its credit and debit cards

    TLG Capital launches ₦2.25B collateralized credit facility for OnePipe

    TLG Capital launches ₦2.25B collateralized credit facility for OnePipe

    Silicon Valley Bank: Global bank stocks slump despite Biden reassurances

    Silicon Valley Bank: Global bank stocks slump despite Biden reassurances

    [Kenya] Digital credit provider Tala disbursed Sh240 billion in loans in eight years

    [Kenya] Digital credit provider Tala disbursed Sh240 billion in loans in eight years

    Digital banking revolution can help SA banks regain their customers’ love, says BCG

    Digital banking revolution can help SA banks regain their customers’ love, says BCG

    Nigeria launches payments card program to rival Visa and Mastercard

    Nigeria launches payments card program to rival Visa and Mastercard

    Mastercard and ZoodPay join forces to launch the first virtual installment card across EEMEA

    Mastercard and ZoodPay join forces to launch the first virtual installment card across EEMEA

    MoneyGram joins forces with BOTIM to launch international money transfer to over 200 countries

    MoneyGram joins forces with BOTIM to launch international money transfer to over 200 countries

  • Opinion
  • Lifestyle
  • Sports
  • Green Economy
No Result
View All Result
The African Business - News About African business
No Result
View All Result
Home Finance

Credit Suisse fined $475m over ‘tuna bonds’ scandal

The bank agrees a deal to pay four regulators after it was found to have sucked Mozambique into more than £940million of debt in 2013.

TAB by TAB
25/10/2021
in Finance
0
Credit Suisse fined $475m over ‘tuna bonds’ scandal

Credit Suisse fined $475m over ‘tuna bonds’ scandal

0
SHARES
13
VIEWS
Share on FacebookShare on Twitter

Credit Suisse fined $475m over ‘tuna bonds’ scandal

Credit Suisse has agreed to pay almost $475m to resolve investigations into its role in Mozambique’s ‘tuna bond’ corruption scandal.

Credit Suisse fined $475m over ‘tuna bonds’ scandal

Related posts

Nigeria asks banks to save forex gains amid currency risks

Nigeria asks banks to save forex gains amid currency risks

16/09/2023
4
PayPal finally launches Apple Pay support for its credit and debit cards

PayPal finally launches Apple Pay support for its credit and debit cards

09/09/2023
1

A $247.5m criminal fine will be paid to the US Justice Department, which will be reduced to $175.5m after crediting payments to other authorities, reports Bloomberg.

The Swiss bank pleaded guilty to wire fraud and and agreed to pay $100m to the US Securities and Exchange Commission and $200.6m will be paid to the UK’s Financial Conduct Authority. The banking giant will also forgive $200m of debt owed to it by Mozambique.

Credit Suisse bankers received $50m in hidden kickbacks for their role in the $2bn debt deal that was supposed to fund a fishing fleet and coast guard for Mozambique’s fishing industry, but became one of the greatest corruption scandals of all time.

While Credit Suisse has pledged to forgive $200m of Mozambique’s debt as part of the settlement with regulators and Swiss authorities, there remains over $1.1bn of debt linked to the deal which is still disputed, says Dr Stephen Connelly from Warwick Law School.

“Credit Suisse’s acknowledgement that it has committed serious financial due diligence failings could undercut an argument under English law that it had no knowledge of the alleged fraud, that any tainted contract is binding and that the corruption is a risk that falls at Mozambique’s door. Mozambique can now strengthen any argument that Credit Suisse did know or ought to have known about the financial crime given the alleged due diligence failings, and that any tainted contract is voidable.

Mozambique was unwittingly sucked into a huge debt of which it had no knowledge before the scandal broke, Connelly adds.

“Corrupt officials and employees of Credit Suisse allegedly received kickbacks from a contractor in order that contracts be signed in Mozambique’s name, effectively leaving the people of Mozambique on the hook for money that never reached them.

“A Swiss bank and an African nation, but at the heart of this was that bank’s London branch and those who used and allegedly abused English law to force Mozambique to pick up the tab.”

A fishy deal

In September 2013, Credit Suisse raised $500m for a newly created state-owned tuna-fishing company called Empresa Mocambicana de Atum (EMATUM).

Given promises of a state guarantee and a handsome yield of 8.5%, the issue was oversubscribed and Russian bank VTB raised a further $350m. Though some had doubts all the money would end up paying for fishing boats, information given to investors suggested Mozambique had the potential to be a booming tuna hub.

Sources in Maputo, however, told African Business that a feasibility study grossly overestimated the country’s tuna potential. The bond was sold with estimates that Mozambique was currently catching 200,000 tonnes of tuna a year worth $200m. Yet the national fisheries office reported that in 2013, foreign and national vessels caught just 6,000 tonnes of tuna.

The same month the bond was issued, then-President Guebuza paid a visit to France-based ship building company, Constructions Mecaniques de Normandie (CMN), with French president François Hollande, sealing a multimillion-dollar deal. Under the agreement, CMN, which specialises in military vessels, would supply two dozen fishing boats and six patrol boats for about $220m, according to the French Foreign Trade Ministry.

But the order included three Ocean Eagle 43 trimaran boats that can launch unmanned drones and be equipped with artillery cannon and heavy calibre machine guns. Ship experts say the money spent on the boats is remarkably high.

In 2016, Maputo’s government agreed to swap the tuna bond’s outstanding $697 million for a sovereign Eurobond.

African Business

Previous Post

Paystack Co-Founder Ezra Olubi partners with group of investors to inject $1.7 million into Brass Banking startup

Next Post

IHS gets $7bn valuation in New York

Next Post
IHS gets $7bn valuation in New York

IHS gets $7bn valuation in New York

RECOMMENDED NEWS

Egypt: A new plant in Al Sawaleh treats domestic wastewater

Egypt: A new plant in Al Sawaleh treats domestic wastewater

2 years ago
2
Safaricom update mobile money platform

Safaricom update mobile money platform

2 years ago
5
World’s Richest Rankings: Aliko Dangote maintain his position as Africa’s richest man

World’s Richest Rankings: Aliko Dangote maintain his position as Africa’s richest man

8 months ago
4
Crédito do Sul Bank raises Kwanzas 8.8 b

Angola: Assets of Crédito do Sul Bank rise 23 percent year on year

1 year ago
17

BROWSE BY CATEGORIES

  • Business
  • Economy
  • Finance
  • Green Economy
  • Lifestyle
  • Opinion
  • Sports
  • Uncategorized

Ads

Categories

  • Business
  • Economy
  • Finance
  • Green Economy
  • Lifestyle
  • Opinion
  • Sports
  • Uncategorized
The African Business - News About African business

We bring you the best Premium news about African Business.

Follow us on social media:

Recent News

  • Kenya seeks partnership with Apple
  • List of African countries and how much of their salaries they spend on iPhones
  • Nigeria finance minister blames Naira’s dive on overdue payments

Category

  • Business
  • Economy
  • Finance
  • Green Economy
  • Lifestyle
  • Opinion
  • Sports
  • Uncategorized

Legal Information

Terms and Conditions
Privacy Policy
Complaints Book

  • Contact

© 2021 The African Business

No Result
View All Result
  • Home
  • Economy
  • Business
  • Finance
  • Opinion
  • Lifestyle
  • Sports
  • Green Economy

© 2021 The African Business

Welcome Back!

Login to your account below

Forgotten Password?

Retrieve your password

Please enter your username or email address to reset your password.

Log In