Credit Suisse Bondholder Class Approved in Suit Over Implosion

Investors who held Credit Suisse bonds that lost all their value during UBS Group AG‘s acquisition of the collapsed bank may proceed as a class in their securities fraud suit, a federal court ruled.

Judge Colleen McMahon‘s ruling Thursday in favor of the bondholders follows her approval of class status for shareholders earlier this year in the same consolidated litigation. The case is pending in the US District Court for the Southern District of New York.

The litigation arises from Credit Suisse’s deteriorating financial condition in the wake of several scandals, including its exposure to hedge fund Archegos ...