Iceland Review

Kaupthing’s Top Dogs Charged with Criminal Activity

Posted 22/02/2012 - 13:06 by anrigaut

2012-02-22 (All day)

The Special Prosecutors’ Office has filed charges in the so-called Al-Thani case, which pertains to the purchase of a five percent share in Kaupthing Bank in late September 2008, merely two weeks before the banking system’s collapse, ví reports.
Former president of Kaupthing, Hreiðar Már Sigurðsson, former chairman of Kaupthing, Sigurður Einarsson, former president of Kaupthing Luxembourg, Magnús Guðmundsson, and Ólafur Ólafsson, who was the bank’s second largest shareholder, are the accused, ví also reports.

The first two have been charged with mandate fraud, Magnús for participating in mandate fraud and Ólafur for participating in mandate fraud but as a reserve cover up and money laundering.

In addition, all four have been charged with market abuse, i.e. for falsely making it appear that a known Qatari investor had submitted funds to purchase the share and been fully accountable for the financial risk it entailed.

Sigurður and Hreiðar are believed to have organized the offenses.

Your rating: None Average: 5 (1 vote)

Kaupþing Bank Executives to Pay Estate ISK Millions

Posted 21/12/2011 - 18:20 by anrigaut

2011-12-21 (All day)

Six former superiors at the now defunct bank Kaupþing (Kaupthing) must pay its bankruptcy estate more than ISK 4 billion (USD 32 million, EUR 25 million), according to a court order announced yesterday. The estate’s managers are demanding that assets both in Iceland and abroad will be liquidated to cover the debt. ....

Your rating: None

Former Kaupthing CEO Questioned in Al-Thani Case

Posted 08/11/2011 - 10:03 by anrigaut

2011-11-07 (All day)

Hreidar Már Sigurdsson, who was CEO of Icelandic bank Kaupthing when it collapsed in 2008, was called in for questioning in relation to the investigation of the so-called Al-Thani case last week, according to the sources of
.... reports that the Icelandic Special Prosecutor’s Office is currently investigating more than 200 cases, ten of which are expected to be completed before the end of this year. ...

Your rating: None

Icelandic State to Sue “Outvasion Vikings”

Posted 27/08/2009 - 16:31 by anrigaut

2009-08-25 23

The government of Iceland agreed yesterday to start preparing a lawsuit against and demand compensation from individuals, associations and companies which caused financial damage to the Icelandic state and the Icelandic public in the events leading up to the banking collapse. ...........

Your rating: None Average: 5 (1 vote)

Special Prosecutor and Europol Discuss Cooperation

2009-08-25 23

The head of Europol’s economic crime department has a meeting scheduled with Iceland’s special prosecutor, who is responsible for investigating the banking collapse, today. They will discuss potential cooperation on the investigation.

Your rating: None Average: 4 (2 votes)

Mysteries of Oligarchs and the Icelandic Banking System Come to Light

2008-12-10 08

The aftermath of the financial collapse is turning into a farce. The nation wants answers and people are not getting any. The affairs of the collapsed banks are carried out in a cloud of secrecy.

The same people who took all the decisions that led to the crash are still in charge—in the banks, in the monitoring bodies and in the government. And the minister of banking, well, he seems to be in another world. And the Financial Supervisory Authority... they seem to be on another planet than the rest of us.

A few examples of how affairs are being handled.

When New Glitnir Bank was established a woman was hired as the bank’s director. She had been working next in line to the old director. A story emerged. She had bought shares in the bank for a ridiculous sum of money with a loan from the bank. But then mysteriously all this disappeared from the books when the bank crashed. How did this happen?

Somewhere in the bank a mistake had been made so that the transfer never took place. For some time, she has revealed, she thought she owned the shares but she didn’t. Then she was going to use her right to vote on the annual general meeting of the bank and whoosh. She could not be found in the books and found out she had no shares.

Tell us another one, please. How on earth could any serious banker not know that a transaction of nearly two million dollars had not taken place? And these were her own personal financial affairs. Do we trust this person to run one of the new state banks? No. Does the Financial Supervisory Authority trust her? Yes. It has just published a report where she is completely whitewashed.

Then there are the companies owned by one of the most “renowned” business moguls in Iceland, who has been purchasing whole airlines and selling them to companies that he owns too to be able to borrow even more from the bank he also had a majority stake in.

His companies, that have been involved in some dodgy business affairs, to say the least, have not returned annual reports to the right authorities for years. And what have the authorities done? They have written letters, sincerely yours, to ask him to return these reports. He has not been fined, not been punished in any way for turning a blind eye on good business practice.

Then there is the state tax investigator who badly wants to look into all the affairs of the bank branches in Luxemburg. If I have not misunderstood everything, those branches have been nationalized too, and belong to the state and therefore to us. Not a simple matter, say the return committees, hired by the state to handle the affairs of the bankrupt banks, and these bank branches deny access to those books.

A high official in the ministry of finance has commented on this saying that our tax investigator has no business peeking into the business of our banks in other countries. Hello. Everybody has known for years that Luxemburg was exactly the place where money mysteriously disappeared into accounts in so-called tax paradises in the Caribbean and elsewhere. This is the place where all dodgy cheques ended up in.

Strangely enough this high official had some shares in Landsbanki which he sold, at exactly the right time, after a meeting with the British authorities last summer where Icesave was discussed. He, like the new director of Glitnir, has been whitewashed.

And then there are the inspectors. Oooh, the feared inspectors, who have been hired to look into this mess and inspect where it all went wrong. Auditor KMPG was hired shortly after Glitnir crashed, to inspect, to turn over the books and ransack every hidden detail.

Every single person who has been following business affairs in Iceland over the past few years knows that the great auditor KPMG Iceland was the auditing company of the now failed bank. And that this great company did not only have Glitnir as a customer but also audited the accounts of all the major owners of Glitnir, like Stodir, FL Group and Baugur Group.

Our minister of banking said yesterday that he had not been aware that KMPG had those ties. Where has he been for the past few years? Sleeping? And now KMPG has said that it wants others to inspect what they have been inspecting. Tell us a new joke, please.

And where does all this information come from, you might ask. The Icelandic media must been having a field day investigating all this? No, this information does not come from the media.

All these stories that I have mentioned here, have been revealed on blogs by individuals who are flabbergasted, disgusted, shamed and angry. The traditional media, largely owned by the same oligarchs that have shamed our country, do reluctant and inaccurate follow-ups like shamed dogs beaten by their owners. It’s appalling.

Your rating: None

New Banks, Old Faces (Still same Directors)

2008-11-20 (All day)

According to the organization charts of the new state-run Icelandic banks, the nationalized Glitnir, Landsbanki and Kaupthing bank, 21 out of 31 managing directors were managing directors in the banks before they went bankrupt...

Your rating: None

Danish Bank to Take Over Iceland’s Kaupthing?

Posted 22/11/2008 - 04:47 by sami

2008-11-20 (All day)

Danish bank FIH is considering taking over Kaupthing Bank and possibly some of the assets from the bank’s bankruptcy estate with the participation of foreign claimants. These ideas have allegedly been well received within Iceland’s government.

According to Morgunbladid, if the takeover goes through, a foreign bank would be operated in Iceland, partnership would be spread and it would be easier for the new bank to obtain foreign trade.

Re-branding would probably be necessary, considering the damaged reputation of Iceland’s three largest banks in the international arena.

A group of foreign investors have expressed interest in gaining ownership in the new-state run banks by changing debts into equity to some extent. Among claimants are many of Europe’s largest banks.

According to Morgunbladid’s sources, such ideas have been discussed on serious terms within Iceland’s government and presented to foreign claimants, although the final implementation of executing such ideas has not been decided.

Your rating: None

No IMF Loan until British dispute settled

Posted 06/11/2008 - 11:50 by Ally

2008-11-06 (All day)
Your rating: None

Minister Investigates Alleged Write-Offs at Kaupthing

2008-11-05 (All day)

Sigurdsson said that it if it true that the board of Kaupthing wrote-off its employees' debts because of their purchase of shares in the bank, the government will ensure that such agreements be annulled, Fréttabladid reports.

“It has to be investigated and concluded quickly,” Sigurdsson said. “All debt-holders have to be treated equally; there will be no special treatments.”

Your rating: None
Syndicate content