Credit Suisse loan to Greensill based on questionable invoices - reports

Company said it did not do business

A $140m emergency loan from Credit Suisse to Greensill Capital was issued based on invoices to companies who deny doing the business, according to reports from the Financial Times.

The FT has learned the invoices, which were collateral for the loan, are in question. They were issued by Liberty Commodities, part of GFG Alliance, and sold to Greensill.   The loan held a clause stating that collateral value had to be equal or greater to $140m borrowed and only invoices to investment grade companies counted. In the days prior to Greensill's collapse, Credit Suisse produced a schedule of receivables dated February 2021, detailing $99m of these eligible invoices naming 12 different companies. Stock Spotlight: Can Credit Suisse sail through scandal? The paper...