Citing people familiar with the matter, Bloomberg said the board has had preliminary discussions about Gottstein’s exit. The change could come this year, it was added.
In a statement, Credit Suisse said it was not commenting on rumors and speculation, but added: “The chairman has clearly supported Thomas Gottstein. Nothing has changed in this respect.”
Gottstein took over the top job in 2020 and has since steered the bank through a series of scandals. Among these are the backlash from the regulatory authorities for spying on its executives and the bankruptcy of two clients, the former British financier Greensill and the New York investment fund Archegos.
This caused an exodus of key staff and caused the stock market value of low-income creditor Zurich to lose billions in 2021.
As the board continues to publicly voice its support for Gottstein, some members are increasingly concerned that he’s not on top of the bank’s issues, Bloomberg reports.
Critics say Gottstein should have better managed the risks associated with Archegos, whose collapse left the bank with a $5.5 billion loss, and picked up on red flags in his relationship with Greensill.
In April this year, however, Lehmann told Swiss newspaper NZZ that he backs Gottstein and that a dozen key investors back the bank’s board and its strategy.
“With so many new appointments, you also need someone at the top who knows what makes the whole organization work and who the main customers are,” Lehmann told the NZZ. “So far we have a good picture of continuity and change.”
Gottstein replaced former CEO Tidjane Thiam who was forced out due to the damaging spy scandal. In January this year, former President Antonio Horta-Osorio left abruptly following an internal investigation into his personal conduct, including breaches of COVID-19 rules. He was replaced by Lehmann.
Weary Credit Suisse investors fear a long wait for the bank to get back on track after scandals that knocked billions off its stock market value and mounted pressure on management, Reuters reported in February.
Although Switzerland’s second-largest bank has said it can create value by serving its wealthy clients with “care and an entrepreneurial spirit”, the market is not yet convinced and its share price has fallen by almost a third in one year, losing some 10 billion Swiss francs (11 billion dollars) its valuation.
In recent months, his reputation has once again been damaged in the first criminal trial of a major bank in Switzerland, in which Credit Suisse and a former employee are accused of having allowed an alleged gang of traffickers to Bulgarian coke to launder millions of euros, some of which in suitcases.
Credit Suisse has denied all allegations, while its employee denies any wrongdoing.