Ex-Deutsche Bank employees say bank hid $12 bln in losses - FT
LONDON (Reuters) - Three former Deutsche Bank (DBKGn.DE) employees have filed complaints with the U.S. securities regulators claiming the bank failed to recognize up to $12 billion of unrealized losses during the financial crisis, the Financial Times reported on Tuesday.
Complaints to regulators including the U.S. Securities and Exchange Commission (SEC) said that Deutsche misvalued a large position in derivatives structures known as leveraged super senior trades, the newspaper reported, citing people familiar with the submissions.
The report said this improper accounting allowed the bank to misrepresent its capital position and avoid a government bailout.
"The allegations of financial misstatements, which are more than two and one-half years old and were publicly reported in June 2011, have been the subject of a careful and thorough investigation, and they are wholly unfounded," Renee Calabro, a spokeswoman at Deutsche Bank, told Reuters in an email.
She dismissed the report on Tuesday evening, saying that all "valuations and financial reporting were proper". (Reporting By Dasha Afanasieva)
- Tweet this
- Share this
- Digg this
- Scots vote on independence, United Kingdom's fate on knife-edge
- Islamic State releases video it says shows British journalist John Cantlie
- China not warlike, says Xi, as border standoff dominates India trip
- International country music singer George Hamilton IV dies at 77
- Jailed Fatah leader lauds Gaza 'victory', urges confrontation with Israel
China is not a warlike nation, President Xi Jinping said on Thursday, during a rare trip to neighbour India that was dominated by a standoff on a barren Himalayan plateau between soldiers from the world's two most populous nations. Full Article | Slideshow
Obama to nominate Indian-American Richard Verma as India ambassador - congressional source. Full Article