Two Banks Settle Parmalat-Related Claims

Credit Suisse Group and Banca Nazionale del Lavoro SpA are the first two defendants to settle in the ongoing Parmalat securities litigation in the S.D.N.Y. It was announced last week that the two banks agreed to pay $50 million (evenly divided) and make corporate governance changes. The case alleges a massive scheme by Parmalat and its bankers, lawyers, and auditors to overstate assets and profits for more than a decade. The 10b-5 Daily has posted frequently about the scheme liability decision in the case.