Two former Credit Suisse brokers each face a $5m fine and up to 20 years in jail after being charged with fraudulently selling complex US securities to clients in order to boost their commissions, according to The Times.
Julian Tzolov, 35, and Eric Butler, 36, were indicted in a federal court in Brooklyn and stand accused of secretly switching clients investments’ from bonds backed by student loans to bonds backed by pools of mortgage securities, known as collateralised debt obligations (CDOs). Between November 2004 and August 2007, the two allegedly made more than $1bn worth of unauthorised purchased of securities backed by home loans. THE US ECONOMY is facing negative headwinds stronger than those it experienced during the recession of the early 1990s, according to one of the country's leading central...
To continue reading this article...
Join Professional Adviser for free
Signup and gain exclusive members-only insights
- Unlimited access to real-time news, industry insights and market intelligence
- Stay ahead of the curve with spotlights on emerging trends and technologies
- Receive breaking news stories straight to your inbox in the daily newsletters
- Make smart business decisions with the latest developments in regulation, investing retirement and protection
- Members-only access to the editor’s weekly Friday commentary
- Be the first to hear about our events and awards programmes
