Investors in Asia are joining international lawsuits against the Swiss government for its handling of affairs during the takeover of Credt Suisse, the iconic but troubled bank. Authorities in Switzerland forced Credit Suisse to merge with rival UBS to prevent own collapse.

Though the takeover averted a catastrophe in Swiss banking system, it made bonds worth USD 17 billion held by investors worthless.

An anonymous investor quoted by BBC had bought USD 500000 worth of bonds in January. The investor took the decision even after several problems in the bank.

"Whenever I spoke to them, the bank gave me constant reassurances that this was just a blip, so I decided to go for it. It didn't feel like I was gambling," BBC quoted the investor as saying.

The type of bonds bought in this case were reportedly AT1, a riskier type of bond the value of which can be written down to zero. This is something that happened when Credit Suisse was taken over by UBS.

Now, dozens of bondholders in Singapore are joining hands to hold the Swiss government responsible. The main grievance is the manner in which the merger was conducted.

The investors reportedly claim that terms of bonds should have made them first to be compensated when the bank was on the brink of collapse. The bondholders were to be given priority over shareholders. However, shareholders were allowed to exchange their Credit Suisse shares with UBS shares.

This in effect means that shareholders got something but bondholders did not.

The legal firm, which is representing bondholders, has alleged that the Swiss regulator's decision was "an unlawful action" and that it had "devastating consequences on thousands of retail and small investors globally."

Bondholders who talked to BBC expressed frustration after losing their money and&nbsp;questioned Switzerland's banking reputation.

"We're losing sleep over this. It should have been a rock solid investment, but now I think the reputation of Switzerland and Swiss banks has gone down the tube," said an Asian investor quoted anonymously by BBC.

"Who in the world is going to trust Switzerland anymore?"

(With inputs from agencies) 
 
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Investors in Asia are joining international lawsuits against the Swiss government for its handling of affairs during the takeover of Credt Suisse, the iconic but troubled bank.

Investors in Asia are joining international lawsuits against the Swiss government for its handling of affairs during the takeover of Credt Suisse, the iconic but troubled bank. Authorities in Switzerland forced Credit Suisse to merge with rival UBS to prevent own collapse. Though the takeover averted a catastrophe in Swiss banking system, it made bonds worth USD 17 billion held by investors worthless. An anonymous investor quoted by BBC had bought USD 500000 worth of bonds in January. The investor took the decision even after several problems in the bank. "Whenever I spoke to them, the bank gave me constant reassurances that this was just a blip, so I decided to go for it. It didn't feel like I was gambling," BBC quoted the investor as saying. The type of bonds bought in this case were reportedly AT1, a riskier type of bond the value of which can be written down to zero. This is something that happened when Credit Suisse was taken over by UBS. Now, dozens of bondholders in Singapore are joining hands to hold the Swiss government responsible. The main grievance is the manner in which the merger was conducted. The investors reportedly claim that terms of bonds should have made them first to be compensated when the bank was on the brink of collapse. The bondholders were to be given priority over shareholders. However, shareholders were allowed to exchange their Credit Suisse shares with UBS shares. This in effect means that shareholders got something but bondholders did not. The legal firm, which is representing bondholders, has alleged that the Swiss regulator's decision was "an unlawful action" and that it had "devastating consequences on thousands of retail and small investors globally." Bondholders who talked to BBC expressed frustration after losing their money and questioned Switzerland's banking reputation. "We're losing sleep over this. It should have been a rock solid investment, but now I think the reputation of Switzerland and Swiss banks has gone down the tube," said an Asian investor quoted anonymously by BBC. "Who in the world is going to trust Switzerland anymore?" (With inputs from agencies) You can now write for wionews.com and be a part of the community. Share your stories and opinions with us here. WATCH WION LIVE HERE ×

Credit Suisse: Bondholders in Asia sue Swiss government after wipeout

According to the International Air Transport Association (IATA), each passenger produced 1.37 kilograms of waste aboard an aircraft in 2018 with an estimated amount of 6.7 million tons annually causing huge health hazard across the globe.

IATA in its survey said flight meals accounted for thirty-three per cent of waste, followed by paper products which contributed 28 per cent. Plastics led to 12 per cent of waste inflight, it observed.

The study categorised waste in two parts - cleaning waste and catering waste.

The international transport body warned that waste could double in the next ten years due to a booming tourist industry worldwide leading to an increase in budget airlines with the number of passengers growing each year.

IATA said the waste produced by airlines was a whopping 29 per cent jump compared to 2016 which was reportedly 5.2 million tons.

Interestingly, according to a survey by Swiss bank UBS in the&nbsp;US, Germany, France and UK, one in five people had cut down on the number of flights over environmental concerns. Several airlines worldwide have been seeking ways to reduce their carbon footprint. British Airways, Australia's &nbsp;Qantas, Air France and other international airlines have announced plans to reduce CO2&nbsp;levels.

The report also noted the number of passengers has been growing each year at the rate of four to five per cent.

In its report, IATA called for cooperation between nations to address the problem of waste produced by airlines while pressing for regulations to fight the environmental hazard.

According to the International Air Transport Association (IATA), each passenger produced 1.37 kilograms of waste aboard an aircraft in 2018 with an estimated amount of 6.

According to the International Air Transport Association (IATA), each passenger produced 1.37 kilograms of waste aboard an aircraft in 2018 with an estimated amount of 6.7 million tons annually causing huge health hazard across the globe. IATA in its survey said flight meals accounted for thirty-three per cent of waste, followed by paper products which contributed 28 per cent. Plastics led to 12 per cent of waste inflight, it observed. The study categorised waste in two parts - cleaning waste and catering waste. The international transport body warned that waste could double in the next ten years due to a booming tourist industry worldwide leading to an increase in budget airlines with the number of passengers growing each year. IATA said the waste produced by airlines was a whopping 29 per cent jump compared to 2016 which was reportedly 5.2 million tons. Interestingly, according to a survey by Swiss bank UBS in the US, Germany, France and UK, one in five people had cut down on the number of flights over environmental concerns. Several airlines worldwide have been seeking ways to reduce their carbon footprint. British Airways, Australia's Qantas, Air France and other international airlines have announced plans to reduce CO2 levels. The report also noted the number of passengers has been growing each year at the rate of four to five per cent. In its report, IATA called for cooperation between nations to address the problem of waste produced by airlines while pressing for regulations to fight the environmental hazard.

Airlines globally produced 6.7 million tons of waste each year: IATA study

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Credit Suisse: Bondholders in Asia sue Swiss government after wipeout

Airlines globally produced 6.7 million tons of waste each year: IATA study