UBS acquitted: appeal by the Office of the Attorney General of Switzerland

The so-called "Bulgarian cocaine" case, which UBS inherited with the acquisition of Credit Suisse, has resurfaced, as the Office of the Attorney General of Switzerland (OAG) has decided to file an appeal with the Federal Supreme Court against an appeal decision acquitting the bank. The appeal was filed on March 7, according to the "NZZ".

The so-called "Bulgarian cocaine" affair is one of several scandals that have tarnished Credit Suisse's image. In 2022, the bank, then still Switzerland's second-largest bank, was fined CHF 2 million for failings in its control procedures, which failed to detect links with a Bulgarian criminal organization.

A former employee – who had carried out or arranged for the carrying out of transactions between July 2007 and December 2008, despite the presence of concrete evidence of the criminal origin of the funds – was also found guilty of aggravated money laundering and sentenced to 20 months in prison and a financial penalty, both suspended.

The bank has since been acquired by UBS. In March 2023, Credit Suisse was thrown into turmoil by a market panic, and to avoid bankruptcy, Swiss authorities met urgently and negotiated with UBS for the group to take over its former rival.

UBS then resumed the proceedings but was acquitted in November 2024 by the Court of Appeal of the Federal Criminal Court. In the meantime, the former Credit Suisse employee had died . The Court of Appeal therefore decided to sever the part of the proceedings concerning her and ultimately decided to acquit UBS, considering that it was no longer possible to examine the facts alleged without undermining the presumption of innocence of the deceased.

When contacted, UBS declined to comment. However, in its first-quarter earnings report, it indicated that it had also filed an appeal.