Credit Suisse Group AG (ADR) (NYSE:CS) is facing a major tax evasion probe in five countries.
The countries that Credit Suisse Group AG (ADR) is facing tax evasion probes in are Australia, Germany, the United Kingdom, France and the Netherlands. The bank is cooperating with authorities as they conducts the probes.
The probes by Australia’s Serious Financial Crime Taskforce has discovered 346 people in the country that may have been working with Credit Suisse Group AG (ADR) to avoid taxes. The Netherlands has also arrested two people on charges of tax evasion in connection to the probe.
The United Kingdom is also investigating senior members of Credit Suisse Group AG (ADR) in its tax evasion probe. The probe has allegedly discovered customers of the bank that are using Swiss bank accounts to avoid taxes. Switzerland wasn’t told about the probe ahead of time, reports Bloomberg.
Switzerland’s Office of the Attorney General isn’t happy about the fact that it wasn’t told about the tax evasion probe. It says it is “disconcerted” about the decision and will seek an explanation. The leader of the tax probe into Credit Suisse Group AG (ADR) is the Netherlands’ FIOD, which handles financial investigations.
This isn’t the first time that Credit Suisse Group AG (ADR) has been accused of helping customers avoid taxes. The reason that the bank is so popular with those looking to evade taxes has to do with Swiss laws. The country has strict laws regarding bank account secrecy that make it an ideal place to hide money, Reuters notes.
CS stock was down 1% as of Friday morning.