(Reuters) -A group of international bond investors is drawing up plans to sue Switzerland in the U.S. courts for expropriation over the losses they suffered after UBS agreed to take over Credit Suisse with state support, the Financial Times reported.
The case is being brought together by law firm Quinn Emanuel and could be filed by the end of the year, the report said on Friday citing people familiar with the matter.
In essence, the claim would be seeking compensation for the destruction of [investors’] property rights, a person with knowledge of the plans told FT.
Quinn Emanuel and Credit Suisse declined to comment. UBS did not immediately respond to Reuters’ request for a comment.
Quinn Emanuel is already suing Switzerland’s financial regulator, FINMA, after the state-assisted rescue of Credit Suisse in March wiped out the Swiss bank’s 16 billion Swiss franc ($17.85 billion) Additional Tier 1 (AT1) bondholders.
($1 = 0.8963 Swiss francs)
(Reporting by Gursimran Kaur in Bengaluru; Editing by Shilpi Majumdar)