Brenna Hughes Neghaiwi, Oliver Hirt

ZURICH, Reuters -Proxy consultant Glass Lewis recommended that shareholders vote against the provision of healthcare. Credit Suisse (SIX.) At the Swiss bank’s annual General Meeting, their board and management gave notice of their intention to discharge them for 2020.

According to the document, shareholders could “reasonably hold the board members and executive accountable for any deficiencies identified in the Company’s risk- and control framework during fiscal year 2020”.

The bank’s 2020-2021 performance will be scrutinized by shareholders. This is after a string of scandals that led to ousters and investigations, as well as losses.

Credit Suisse’s board could be held responsible by the collapse of Greensill-linked funds if it requests shareholders to give them discharges for any other activity.

Credit Suisse suffered a loss of $1.6 billion ($1.7 billion) in 2021 due to a $5.5 Billion hit as a consequence of the collapse of Archegos investment fund.

Its reputation also suffered from the collapse in $10 billion supply chain finance funds (SCFF), which were linked to an insolvent British banker Greensill. The company is still trying recover investor funds.

This vote is usually held annually. However, the votes cast at April 29 AGM will be applicable to two financial years. Credit Suisse pulled an item from its Annual Meeting in 2021 to examine the Greensill and Archegos matter.

Glass Lewis advised shareholders to vote for directors being released from responsibility in the 2020 financial year. Although the bank has a way to go before it can make a dramatic turnaround, and significantly reduce its exposure in litigation and reputational risk, it stated that it had taken significant steps to enhance its culture and governance.

Credit Suisse acknowledged that it was aware of the suggestions and Glass Lewis stated that shareholders should support the board’s views on each proposal.

Two proposals were submitted by shareholder groups to the board. They asked investors for approval to perform a special audit to examine the actions of the bank and to develop its climate strategy.

Glass Lewis advised shareholders to reject both of these proposals.