- Case brought by the government of Mozambique also seeks damages from Credit Suisse and shipbuilding company Privinvest
- Credit Suisse given deadline of 21 January to file and serve their defence
Documents obtained by Jubilee Debt Campaign show that the government of Mozambique is seeking the cancellation of a $622 million debt on the grounds that it was unconstitutional and illegal under Mozambique law. In a civil case lodged at the High Court in London, Mozambique is also seeking damages which could run into billions of dollars from Credit Suisse, Privinvest and individuals associated with the case.
The claims arise from three loans totalling over $2 billion made by the London branches of Credit Suisse and Russian bank VTB to state-owned companies in Mozambique in 2013 and 2014. The loans were guaranteed by then Finance Minister Manuel Chang, but the Mozambique government claims he “did not have authority to sign the sovereign guarantees, which were unconstitutional and illegal under Mozambique law” because the Mozambique parliament did not approve the loans.