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RegExp("[?&]notifications=1(&|#|$)");"desktop"===y&&i&&b.test(window.location.search)&&(i.checked=!0)};ge("ybar-mod-notification",(function(e){var t={isUH3:"crunch"===e.getConfig().ytheme,notifContainer:document.getElementById("notification-container"),notifBadge:document.getElementById("notif-badge"),notifMenu:document.getElementById("ybarNotificationMenu"),notifMenuOpener:document.querySelector("#ybarNotificationMenu + label"),notifDropdown:document.getElementById("notifDropdownContainer"),tooltipContainer:document.querySelector(".".concat($n)),notifLabel:document.querySelector(".".concat(Xn))};t.notifDropdown&&so(e,t)}))}()}};]]>By Dave Graham, John Revill and Kirsti KnolleTue, October 14, 2025 at 4:08 PM GMT+2 3 min readBy Dave Graham, John Revill and Kirsti KnolleZURICH (Reuters) -Swiss authorities' 2023 decision to write off 16.5 billion Swiss francs ($20.53 billion) in Credit Suisse bonds was unlawful, a court said on Tuesday, raising fresh questions about how the bank's rescue and subsequent takeover by UBS was handled.The March 2023 decision by market regulator FINMA to wipe out Credit Suisse's Additional Tier 1 (AT1) bonds during the state-engineered takeover by its old rival UBS triggered an investor backlash and legal challenges.UBS SHARES SLIDE AFTER RULINGUBS's shares fell after news of the Federal Administrative Court's decision broke, slipping over 3.5% in afternoon trade.In a partial decision, the court said the 2023 AT1 bond write-off lacked a legal basis."It considered that the bondholders' property rights were seriously interfered with, which would have required a clear and formal legal basis. But no such basis existed," the court said.The decision can be appealed at the country's top court.The Swiss finance ministry and FINMA both said they would analyse the court's decision. UBS declined to comment."The decision is not completely unexpected, and I expect it to be appealed," said Hans Gersbach, a banking and economics professor at ETH University in Zurich.2023 DECISION LEFT MARKETS STUNNEDThe 2023 write-off stunned markets by prioritizing shareholder compensation over bondholder claims, upending the normal capital structure hierarchy.When Credit Suisse was taken over, shareholders received UBS stock valued at around $3.25 billion. AT1 holders were left with nothing, prompting lawsuits in Switzerland, the U.S., and investor-state arbitration under bilateral treaties.Around 3,000 complainants lodged appeals with the court over FINMA's decree in about 360 cases, the court said. In essence, complainants requested that the decree be revoked, and that the write-off be reversed, it added.The court made a partial decision in one appeal case and revoked FINMA's decree. It has not yet decided on the reversal request. The other cases are now suspended until a decision regarding the revocation of the decree has become final.Law firm Quinn Emanuel, which represents many of the complainants, welcomed the court's decision."The Quinn Emanuel team is carefully reviewing the ruling to fully assess its implications," said Thomas Werlen, Quinn Emanuel's Managing Partner for Switzerland.Investors are unlikely to recover the full 16.5 billion francs, analysts have previously said, as the bonds had lost considerable value by the time of Credit Suisse's rescue.Terms and Privacy PolicyPrivacy & Cookie SettingsMore InfoS&P 5006,616.92 -37.80 (-0.57%)Dow 3045,915.86 -151.72 (-0.33%)Nasdaq22,489.49 -205.11 (-0.90%)Russell 20002,453.70 -7.72 (-0.31%)VIX21.41 +2.38 (+12.48%)Gold4,146.70 +13.70 (+0.33%)PortfolioSign in to access your portfolioSign inTop gainersCRML Critical Metals Corp. 28.09 +4.80 (+20.64%)NVTS Navitas Semiconductor Corporation 11.90 +1.93 (+19.36%)ERIC Telefonaktiebolaget LM Ericsson (publ) 9.49 +1.32 (+16.15%)ACI Albertsons Companies, Inc. 18.64 +1.68 (+9.94%)PII Polaris Inc. 67.42 +6.06 (+9.88%)Top losersALAB Astera Labs, Inc. 173.52 -26.01 (-13.04%)DGNX Diginex Limited 23.28 -2.42 (-9.42%)STUB StubHub Holdings, Inc. 18.15 -1.47 (-7.47%)BMNR Bitmine Immersion Technologies, Inc. 52.66 -4.19 (-7.36%)TKC Turkcell Iletisim Hizmetleri A.S. 5.53 -0.38 (-6.41%)Most activeBITF Bitfarms Ltd. 5.42 +0.03 (+0.56%)BBAI BigBear.ai Holdings, Inc. 9.17 +0.36 (+4.09%)NVDA NVIDIA Corporation 182.05 -6.28 (-3.33%)NVTS Navitas Semiconductor Corporation 11.90 +1.93 (+19.36%)RGTI Rigetti Computing, Inc. 52.26 -2.65 (-4.83%)Earnings eventsMy earnings eventsEarnings eventsTrending tickersBTC-USD Bitcoin USD 111,785.78 -2,600.52 (-2.27%)JPM JPMorgan Chase & Co. 302.46 -5.51 (-1.79%)CRML Critical Metals Corp. 27.89 +4.60 (+19.76%)GS The Goldman Sachs Group, Inc. 762.63 -24.15 (-3.07%)NVTS Navitas Semiconductor Corporation 11.93 +1.95 (+19.61%)Top economic events