Institutional Investors Launch $475m Lawsuit Against Danske Bank

Grant & Eisenhofer (GE) launched a press release on Monday saying that it’s suing Danske Bank for $475 million.

The US authorized agency says that it’s representing a mixture of institutional buyers from 19 totally different nations.

The iFX EXPO is Back in Limassol!

Their claims in opposition to Danske Bank stem from a cash laundering scandal that has engulfed the Danish agency over the previous twelve months.

An Estonian subsidiary of the banking group allegedly laundered $230 billion between 2007 to 2015.

The bulk of the cash is believed to have come from Russia and different nations that made up the previous Soviet Union.

Given the gargantuan volumes of money which can be thought to have been siphoned by way of the Tallin-based financial institution, it’s thought that it may very well be the most important cash laundering scandal in European historical past.

“Shocking concealment of criminality”

In their lawsuit, GE say that Danske Bank’s management have been conscious that cash laundering was going down way back to 2013.

The regulation agency mentioned senior figures on the financial institution tried to cowl up what had occurred.

“The actual scandal isn’t a few small overseas financial institution department going rogue – it’s in regards to the surprising concealment of criminality that went straight to the highest of the enterprise,” mentioned Olav Haazen, a lawyer with GE.

“Danske Bank’s administration engaged in a concerted cover-up of its huge cash laundering publicity, whereas persevering with to color a rosy image to buyers.”

Those buyers are seemingly peeved on the huge hit which Danske Bank took after the cash laundering allegations went public.

According to GE, buyers misplaced $9 billion and Dankse Bank’s share worth halved when particulars of its Estonian department’s exercise went to press.

This is just not the primary time GE has sued a serious financial institution for misconduct on the behalf of buyers.

After the monetary disaster a decade in the past, the regulation agency gained $1 billion from Dutch financial institution Fortis and $1.5 billion from the Royal Bank of Scotland. Both instances pertained to the 2 banks’ understating how uncovered they have been to the US subprime mortgage market.

GE additionally gained some press per week in the past when it introduced it was suing Tesla’s CEO Elon Musk to forestall him from tweeting in regards to the automotive producer.

!perform(f,b,e,v,n,t,s){ if(f.fbq)return; n=f.fbq=perform(){ n.callMethod?n.callMethod.apply(n,arguments):n.queue.push(arguments)}; if(!f._fbq)f._fbq=n; n.push=n; n.loaded=!0; n.model=’2.0′; n.queue=[]; t=b.createElement(e); t.async=!0; t.src=v; s=b.getElementsByTagName(e)[0]; s.parentNode.insertBefore(t,s)}(window,doc,’script’,’https://join.fb.web/en_US/fbevents.js’); fbq(‘init’, ‘2151954781716318’); fbq(‘init’, ‘1802203759860657’); fbq(‘monitor’, ‘PageView’);

Show More


David is the founder of The firm originates business financing for companies of all size in the Canadian marketplace . Originations include business loans, term loans, asset based lines of credit, SR ED Tax credit financing , and receivable financing .

Related Articles

Leave a Reply

Your email address will not be published. Required fields are marked *


Adblock Detected

Please consider supporting us by disabling your ad blocker