Switzerland's prosecutor said Thursday it will launch a money-laundering investigation linked to Credit Suisse Group after a complaint by hedge fund Hermitage Capital made allegations of a huge fraud scandal in Russia. The scandal involved the alleged theft of hundreds of millions of dollars from Hermitage by Russian police, tax officials and others. New details of the alleged theft and use of Credit Suisee accounts were covered in a blistering story in this week’s edition of Barron's. "Due to the need to preserve confidentiality and to ensure the purpose of the investigation, no further details can be given at this stage, and in particular no information can be given in regard of any measures that have been taken or findings that have been made so far," the Swiss prosecutor said in an emailed statement to the Wall Street Journal. The original accusations of a massive fraud came from Hermitage attorney Sergei Magnitsky, who died in a Russian prison. He had lodged a complaint saying he uncovered a complicated scheme in which Russian interior ministry officials took over the hedge fund's local subsidiaries...
Corruption risks in the criminal justice chain and tools for assessment - Richard E. Messick & Sofie A. Schütte / U4 Issue