Børsens News Service in English
Capnordic Collapse: Legal Action Imminent
06-08-2010
12:40
The leading players in the drama that led to the collapse of Capinordic Bank will "very soon" receive letters containing legal claims regarding the bank's collapse, an official charged with managing the bankruptcy procedure has said. Capinordic’s losses totaled over DKK 200 million when it was declared bankrupt in February this year.
Six months ago the Copenhagen-based bank announced that it was suspending all payments in the face of unsustainable losses. It was subsequently taken over by the state company Financial Stability, meaning Danish depositors were covered by the state’s guarantee scheme
On Tuesday a legal review commissioned by Financial Stability raised strong criticism of the bank’s management and its lending policy. The report singled out former CEO’s Henrik Juul, and Claus Ørskov and co-founder Lasse Lindblad for particular criticism. The review is designed to pave the way for legal claims related to the bank's losses.
Steen Hove, the Chairman of the state company charged with administering the aftermath of the bankruptcy, said that criminal charges could not be ruled out against those deemed responsible. Papers would now be submitted to public prosecutors, who would decide if any criminal charges should be filed, he added
Earlier this week, a major shareholder in the now-defunct bank told Borsen that the report’s authors absolved auditors PricewaterhouseCoopers of blame too quickly.
Six months ago the Copenhagen-based bank announced that it was suspending all payments in the face of unsustainable losses. It was subsequently taken over by the state company Financial Stability, meaning Danish depositors were covered by the state’s guarantee scheme
On Tuesday a legal review commissioned by Financial Stability raised strong criticism of the bank’s management and its lending policy. The report singled out former CEO’s Henrik Juul, and Claus Ørskov and co-founder Lasse Lindblad for particular criticism. The review is designed to pave the way for legal claims related to the bank's losses.
Steen Hove, the Chairman of the state company charged with administering the aftermath of the bankruptcy, said that criminal charges could not be ruled out against those deemed responsible. Papers would now be submitted to public prosecutors, who would decide if any criminal charges should be filed, he added
Earlier this week, a major shareholder in the now-defunct bank told Borsen that the report’s authors absolved auditors PricewaterhouseCoopers of blame too quickly.
*****||*****Capnordic Collapse: Legal Action Imminent*****||*****The leading players in the drama that led to the collapse of Capinordic Bank will "very soon" receive letters containing legal claims regarding the bank's collapse, an official charged with managing the bankruptcy procedure has said. Capinordic’s losses totaled over DKK 200 million when it was declared bankrupt in February this year.*****||*****
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