The Bahrain High Civil Court has rejected all seven legal proceedings filed against HDFC Bank by investors over their investments in Credit Suisse Additional Tier 1 (AT1) bonds, the bank said in a press release on Thursday. The latest two orders were issued on September 9, while five other cases involving investors in the Credit Suisse AT1 bonds were rejected by the Bahrain court between July and August 2026.
The investors had alleged gross negligence, intentional misrepresentation, incorrect customer classification, non-disclosure of product features, misuse of financial leverage and violation of product suitability principles in relation to their investments through HDFC Bank. The court rejected the claims, finding that the investors had failed to produce sufficient admissible evidence to substantiate the allegations against the bank or establish that they had suffered losses due to the bank, it said. In all seven cases, the investors were also directed to bear the costs of the proceedings.
The favourable orders in Bahrain follow the dismissal in March by the National Consumer Disputes Redressal Commission (NCDRC) of complaints filed by investors against HDFC Bank in relation to the Credit Suisse AT1 bonds.
According to HDFC Bank, the NCDRC had held that the bank acted only as a facilitator and that investors had the autonomy to make their investment decisions. The commission also observed that the investors “voluntarily with their open eyes chose to make these investments” and approached the bank after the investments failed to deliver the expected returns, the bank said.
The bank said that it would stand with its customers, however it is not in the business of underwriting the investments made by the customers out of their own judgement and it will therefore “defend itself rigorously against any unsubstantiated claims”. On Thursday, shares of the bank closed 0.7% higher at Rs 693.80 on the NSE.