Credit Suisse seeks $2.2bn claim on fund collapse; Tokio Marine in focus

Credit Suisse Asset Management (CSAM) has filed 18 insurance claims for some $2.2 billion to help recoup moneys on behalf of investors in failed supply chain financing funds.

“ CSAM has now filed insurance claims in respect of all the SCFF programs where there are insurable losses,” management said in its statement.

For the two defunct funds in question, the sum comes to $1.72 billion for Credit Suisse (Lux) Supply Chain Finance Fund and $469 million for Credit Suisse Nova (Lux) Supply Chain Finance High Income Fund.

At issue are trade credit policies backing underlying assets in supply chain financing securitization funds.

Tokio Marine is on the firing line, having inherited policies upon its purchase of unit BCC Trade from Australia’s IAG.

Tokio Marine began to cancel coverage early in 2021 upon uncovering concerns over the policies, actions which fund managers claim led to the collapse of the funds.

Tokio Marine has cried fraud on the underlying coverages and claims it is “very well prepared” for a legal onslaught over its former trade credit coverage.

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