Former Georgian PM Ivanishvili's Legal Victory in Credit Suisse Fraud Case

Bidzina Ivanishvili, former Georgian prime minister, won a lawsuit against Credit Suisse's subsidiary over fraud by ex-banker Patrice Lescaudron. While the $607 million damages awarded need recalculation, the appeal was dismissed, holding Credit Suisse accountable, though a separate fraud misrepresentation claim was denied.

Bidzina Ivanishvili, former prime minister of Georgia, secured a legal victory as a Credit Suisse subsidiary lost its appeal on Monday. This appeal was pivotal in a lawsuit Ivanishvili won concerning fraud perpetrated by a former adviser, Patrice Lescaudron. The initial ruling granted Ivanishvili $607 million, albeit with amendments needed for recalculating these damages.

The Swiss bank's life insurance division, currently owned by UBS, faced action in Bermuda's courts for these long-standing fraud losses. An ex-adviser, Lescaudron, had been convicted and jailed in 2018 for these offenses, with his subsequent death in 2020. The lawsuit was part of Ivanishvili's broader legal strategy, having won $461 million in a separate Singapore litigation.

The Privy Council in London upheld the Bermuda court's decision against Credit Suisse's liability claim, only adjusting the damages calculation method. A concurrent claim for fraudulent misrepresentation by Ivanishvili was, however, dismissed. This legal development adds substantial weight to Ivanishvili's financial recovery efforts.

(With inputs from agencies.)