Benjamin Lawsky, Ny State’s Financial Services Superintendent,  has Credit Suisse in his crosshairs.

Our correspondent Andreas Frank calls our attention to Reuters reporting:

Switzerland’s second-largest lender had raised expectations it was emerging from its long-running American tax controversy when it set aside an extra half a billion dollars last week to deal with a U.S. Department of Justice investigation of its participation in offshore tax evasion.

But Benjamin Lawsky, New York’s financial services superintendent, is now examining whether the bank lied to New York authorities about creating tax shelters, raising the possibility of another investigation, a source familiar with the matter told Reuters.

Shares in Credit Suisse dropped 2.6 percent to 28.69 Swiss francs in Zurich on Monday, underperforming the European benchmark <.SX7P>, which was 1 percent weaker, as investors digested the possibility of a costly inquiry.

“There is still a lot of uncertainty around all these legal issues at Credit Suisse. Nobody can tell how much it will really cost in the end,” said Peter Stenz, a portfolio manager of Swiss equities at Swisscanto, one of the 50 largest stakeholders in Credit Suisse.

Testifying before the Senate Sub Committee on Permanent Investigations, Credit Suisse waffled.