- POSTED: 10 Jul 2014 04:22
Credit Suisse has asked a US court to delay sentencing in its tax-evasion case as it seeks a way to continue managing pension funds worth billions of dollars.
NEW YORK: Credit Suisse has asked a US court to delay sentencing in its tax-evasion case as it seeks a way to continue managing pension funds worth billions of dollars.
The bank is requesting an administrative exemption from the Labor Department that would allow it to continue managing the funds despite having been found guilty on criminal charges of aiding tax evasion.
Department rules bar asset managers from managing pension plans if they have been convicted of certain crimes, including tax evasion.
In a court filing on Tuesday the bank said it needed more time before sentencing to obtain the exemption.
Credit Suisse pleaded guilty on May 19 to having helped thousands of wealthy Americans for decades hide money in offshore accounts to avoid paying taxes.
The bank was fined US$2.6 billion for what prosecutors called a "brazen" record of breaching US law.
The US District Court initially scheduled sentencing for August 12, but Credit Suisse asked the court to push the date until November 1 or later to give the Labor Department more time to approve the exemption.
At risk is Credit Suisse's continued management of more than 100 pension plans worth several billions of dollars of assets, the filing said.
The bank noted that the US Justice Department does not oppose a delay in sentencing.