A US federal judge approved a $50 million settlement today among Credit Suisse Group , Banca Nazionale del Lavoro and Parmalat shareholders.
US District Judge Lewis Kaplan, during a brief hearing in Manhattan, gave final approval to the settlement, under which Credit Suisse and Italy's bank BNL will each pay $25 million. BNL of Italy is now owned by France's BNP Paribas.
The judge also approved a reimbursement of $6 million to the plaintiff's attorneys. Credit Suisse and BNL are the first two defendants to settle in the ongoing securities class-action litigation in US District Court in Manhattan. Known for its long-life milk, Parmalat collapsed under about €14 billion of debt, after uncovering a €4 billion hole in its accounts.
Investors in the lawsuit accused the banks and others of helping Parmalat conceal its true financial state in an attempt to maintain lucrative business ties with the company. Citigroup and Bank of America Corporation are among the other defendants in the investor lawsuit.