Deutsche Bank Pays $197 Million to Settle Dutch Bribery Case
July 12 2019 - 12:19PM
Dow Jones News
By Stefanie Haxel
Deutsche Bank AG (DBK.XE) said Friday that it paid 175 million
euros ($197.1 million) to Dutch housing company Stichting Vestia to
settle a lawsuit with Vestia accusing the bank of bribery over
derivatives trades.
Germany's biggest bank didn't admit liability and the two
companies waived all claims against each other relating to these
transactions, it said. The dispute between Deutsche Bank and
Vestia, a provider of affordable housing for people with low
incomes, had been pending before the High Court of Justice in
London since 2016. The Dutch company originally sought EUR840
million in damages from the bank.
Vestia nearly collapsed in 2012 as a result of derivatives
losses totaling more than EUR2 billion. The company blamed these
losses on its derivatives transactions with Deutsche Bank, saying
some of them were "flawed" because the bank paid fees to a
middleman when it entered into trades with the housing group.
Deutsche Bank denied the charges during the trial.
"With this settlement agreement, this dispute between Vestia and
Deutsche Bank comes to an end," Deutsche Bank said.
Vestia said it is satisfied with the result, even though the
awarded damages are much lower than what it initially sought. The
company said the EUR175 million settlement "is a substantial amount
and makes a good contribution to the financial recovery."
Write to Stefanie Haxel at stefanie.haxel@wsj.com
(END) Dow Jones Newswires
July 12, 2019 12:04 ET (16:04 GMT)
Copyright (c) 2019 Dow Jones & Company, Inc.
Deutsche Bank Aktiengese... (NYSE:DB)
Historical Stock Chart
From Mar 2024 to Apr 2024
Deutsche Bank Aktiengese... (NYSE:DB)
Historical Stock Chart
From Apr 2023 to Apr 2024
