CPH Post

Business

Public body determined to make bank bosses pay

Billions being sought from directors in compensation cases


Courts will weigh up if directors have to pay for their actions (Photo: Colourbox)

September 2, 2014
18:57

by


The public financial oversight body, Finansiel Stabilitet, is legally pursuing the directors of seven crashed banks. Information reports that it is willing to do so for the public interest, even if the return in compensation is expected to be outweighed by the cost of cases.

The cases brought by Finansiel Stabilitet are not criminal, but merely seek compensation where bankruptcies  have caused losses to the state.

Deterrent effect
Henrik Bjerre-Nielsen, the head of Finansiel Stabilitet, believes that, even if it is not possible to obtain the millions in compensation that is being sought in such cases, there is a deterrent effect that makes it worthwhile. “If you have caused the bank losses as a board member or director, you will be accountable for it,” he told Information.

“We think it’s difficult to differentiate the effect it will have on the people involved according to whether we think we can cover our expenses or not.”

Since Roskilde Bank in 2008 was acquired by the Danish National Bank after running into financial difficulties, Finansiel Stabilitet has made an assessment of each of the 12 bank crashes and has gone after the leadership in seven cases. Progress is slow and all of the cases are ongoing. 



Related stories



Latest Comments

Is it possible to recruit few additional people (som deltidsarbejde) who can...

(Abhijeet Mishra on January 27, 2015 23:48)

Hmmmm... I live in San Diego... just a hop and a skip from Legoland...

(Erick La Von Albretsen on January 27, 2015 20:57)

Fewer asylum-seekers being repatriated-Backlog growing as some deportations...

(Jon Paris King on January 27, 2015 20:23)

Considering Denmark's deplorable role in deporting stateless Jews from...

(Bill Jones on January 27, 2015 19:44)

What does Denmark manufacture?

(Jon Paris King on January 27, 2015 18:43)

Never forget racism antisemitism homophobia will lead to where it went before...

(David Tough on January 27, 2015 18:17)

FYI! If you need to go, and there's no public restroom in sigth, you have the...

(Jens Rost on January 27, 2015 16:55)

No note about the amount of companies in Denmark owned by offshore holding...

(Go Jodfrey on January 27, 2015 11:10)

A perfect case study on DK's inept legal system. DK needs to cancel Pecht's...

(Bill Jones on January 27, 2015 09:47)

You sound really bitter and self righteous.

(Juliousbass "the Future of Bass" on January 26, 2015 21:03)