The Financial Services Agency (FSA) in Japan has issued Credit Suisse with administrative action after the Securities and Exchange Surveillance Commission (SESC) in Japan carried out an investigation in its information controls.
The FSA’s action follows an investigation into Credit Suisse allegedly leaking non-public information within its Japanese brokerage unit.
The administrative action outlined by the FSA explains Credit Suisse must “develop preventative measures, and ensure they are implemented”.
As part of this, the bank will need to “examine periodically the effectiveness of the preventative measures developed.”
The FSA said Credit Suisse must “enhance and strengthen business management and internal control environment across the Company, including by clarifying tone at the top to value compliance, heightening awareness for compliance and engendering a sound corporate culture.”
Credit Suisse’s business in Japan came under scrutiny when the SESC found the company’s systems for managing corporate information was “inadequate”.
An analyst and sales employee working for the bank in Japan allegedly used non-public information to encourage customers to buy shares.