The chairman of Credit Suisse Group AG $CS: $10.55(0.38%), Antonio Horta-Osorio, has resigned from the bank following reports that he has violated the Covid related quarantine rules.

Mr Horta-Osorio, who joined the bank just nine months ago, resigned effective immediately following an investigation commissioned by the board, Switzerland’s second-largest bank said in a statement released Monday.

“I regret that a number of my personal actions have led to difficulties for the bank and compromised my ability to represent the bank internally and externally,” Horta-Osorio said in the statement.

“I, therefore, believe that my resignation is in the interest of the bank and its stakeholders at this crucial time.”

Credit Suisse confirmed last month that Horta-Osorio had broken quarantine norms after a report published by Swiss tabloid Blick.

In November, Switzerland had announced strict restrictions for those entering or returning to the country following the emergence of the highly-contagious Omicron variant.

The Swiss media reported that Mr Horta-Osorio had broken quarantine rules, including flying to Britain in December and to the Wimbledon tennis tournament over the summer.

The resignation of Antonio Horta-Osorio, a former CEO of Lloyds Banking Group in Britain, worsened the troubles of Switzerland’s second-largest bank, which was already blown away by its links to the multi-billion-dollar meltdowns at financial firms Greensill and Archegos last year.

Axel Lehmann To Be The Next Credit Suisse Chairman
“We respect Antonio’s decision (to resign) and owe him considerable thanks for his leadership in defining the new strategy, which we will continue to implement over the coming months and years,” Severin Schwan, vice-chair of Credit Suisse’s board, said in a statement.

“Axel Lehmann as the new Chairman, with his extensive international and Swiss industry experience, is ideally suited to drive forward the strategic and cultural transformation of the bank,” he said.

At the bank’s annual general meeting on April 29, the board will propose that Lehmann take the reins as chairman.

“We have set the right course with the new strategy and will continue to embed a stronger risk culture across the firm,” Lehmann said.

“By executing our strategic plan in a timely and disciplined manner, without distraction, I am convinced that Credit Suisse will demonstrate the renewed strength and business focus needed to generate sustainable value for all of our stakeholders,” he said.