Credit Suisse Continues Ratting on It Own and Expects Deposit Outflow (9/18/12)

I link to and excerpt from two recent articles on Credit Suisse's continuing travails for having messed with the IRS.

Katharina Bar, Credit Suisse to reveal more data, staff names in U.S. tax probe (Reuters 9/17/12), here.

Credit Suisse said it would transfer more information on its money management arm for wealthy Americans to U.S. officials, including more names of its own employees, as part of an effort to settle a tax evasion probe. 

For the first time, Credit Suisse employees will be told before their names are disclosed to U.S. officials, a bank spokesman said, after previous transfers of information by banks drew criticism. 

The handover, which does not include names of clients, forms part of ongoing negotiations between the Swiss government and U.S. justice and tax officials, who accuse eleven Swiss private banks of helping Americans dodge taxes through hidden Swiss offshore accounts.
Transfers of information have sparked objections from Switzerland's privacy watchdog and a legal complaint against HSBC for handing over data on its employees, which a lawyer said infringed Swiss privacy laws. 

Banks including HSBC, Credit Suisse and Julius Baer have already passed on about 10,000 employee names in an attempt to avoid the fate of private bank Wegelin, which broke up in January under threat of indictment, bank employees and lawyers said.

Catherine Bosley and Emma Thomasson, Credit Suisse Clients Could Withdraw Up To $37 Billion Over Tax Evasion Crackdown (Huffington Post / Reuters 9/12/12), here.

Credit Suisse could see clients in western Europe withdraw up to a net $37 billion in the next few years as Switzerland bows to pressure to stop foreigners using secret offshore accounts to evade taxes. 

Swiss bank secrecy - which has helped the country build a $2 trillion offshore financial centre - has come under heavy pressure in recent years as cash-strapped governments have sought to fight tax evasion. 

In a webcast of a presentation to a conference in New York, Finance Chief David Mathers said Credit Suisse had already seen more than 30 billion francs ($31.98 billion)in net outflows from mature offshore markets since 2009, part of it due to the tax disputes.
"Cross-border transformation including new tax treaties could result in 25-35 billion francs outflows over the next few years," the bank said according to slides for the presentation.