Jewish groups go after new recompence over Nazi-associated Swiss bank accounts

(MENAFN) Swiss banking giant UBS faces potential claims for billions in restitution to Holocaust survivors after Jewish organizations alleged the discovery of undisclosed Nazi-linked accounts inherited from the collapsed Credit Suisse. UBS is currently finalizing its investigation into these claims, Bloomberg reports.

Ronald Lauder, president of the World Jewish Congress and a key figure in the 1998 $1.25 billion settlement with Swiss banks, believes that far greater sums remain unpaid. He estimates that $5 to $10 billion may still be owed.

In 2020, the Simon Wiesenthal Center accused Credit Suisse of hiding accounts tied to Nazi clients, prompting the bank to launch an internal review. After UBS acquired Credit Suisse in 2023, it appointed independent ombudsman Neil Barofsky, a former U.S. prosecutor, to conduct a more thorough investigation. The final report is expected early next year.

Preliminary findings have revealed hundreds of suspicious accounts, some labeled with terms like “American blacklist,” indicating possible deliberate concealment during earlier probes. Lauder noted that while Jewish account holders might have deposited around $100,000, Nazi-linked accounts often held $10 to $20 million—funds likely looted from Holocaust victims. He emphasized that these amounts were not addressed in the 1990s settlement.

While Lauder insists UBS could owe billions in additional compensation, some argue that the 1998 agreement shields the banks from further liability.

Credit Suisse, Switzerland’s second-largest bank, was acquired by UBS in 2023 after scandals and financial losses ended its 167-year history and rattled global trust in Swiss banking.

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