Wichtige Informationen verschwiegen

Maintained silence about important information.

In the numerous court trials dealing with deeds done during the running of the Bavarian state bank BayernLB and during the running of the Carinthian state bank Hypo Alpe Adria, and deeds done during BayernLB’s purchase of Hypo Alpe Adria and the country of Austria’s subsequent buying it back for $1, there have been many accusations about improper sharing of important relevant information at key moments.

09 Apr 2014: Jail sentences will be appealed for Hypo Alpe Adria’s former manager Tilo Berlin (2 years), management board member Josef Kircher (3 years), bank head Wolfgang Kulterer (another year), and management board member Siegfried Grigg (3.5 years), for making improper secret side agreements with investors. The Hypo managers did not tell BayernLB that they’d tried to raise capital by selling preferred stock [Vorzugsaktien] with a put option guaranteeing the bank would buy back the stock at any time; i.i.u.c. Hypo’s balance sheet at the time BayernLB bought it described these shares as >100 million euros of Eigenkapital when they should have been classed as Fremdkapital, equity capital when they were in fact debt capital. BayernLB is saying this means the balance sheet and core capital data they were given before the 2007 sale weren’t accurate.

Now that several top managers have been found guilty of selling the bank with an inaccurate sales brochure, the Bavarian Landesbank is suing one of the smaller major shareholders in Hypo Alpe Adria at the time, a group of shareholding Hypo employees, for selling their stock to BayernLB while the brochure was wrong. If the Landesbank wins that lawsuit they can go on to sue the larger major shareholders who owned the bank then, such as the state of Carinthia.

07 May 2014: Former Hypo manager Tilo Berlin thinks BayernLB disguised their true intentions to him in 2008 and has filed charges against the BayernLB bankers and politicians who were running the Landesbank then; prosecutors in Carinthia and Bavaria are investigating his allegations of “serious fraud and suspected fraudulent acquisition of nonvoting share capital” [schweren Betrugs sowie des Verdachts des betrügerischen Erlangens von Partizipationskapital]. After buying Hypo Alpe Adria in 2007, the Austrians are saying, in 2008 the Bavarians tricked them into handing over 900 million euros in Austrian taxpayer-funded aid by pretending BayernLB would keep the troubled Hypo Alpe Adria when they were already planning to get rid of it. BayernLB bought Hypo Alpe Adria in 2007, knew already in 2008 that they’d made a big mistake, and got Austria to take it in 2009; in 2013 the long process for winding it down as a bad bank began.

07 May 2014: In addition to the above, concluded this Spiegel article, the game’s afoot with regard to Hypo Alpe Adria. But Spiegel provided no details.

“Furthermore, the bank was involved in criminal machinations, which Austrian investigators are processing in one of the biggest crime cases in the Alpine republic’s history.”

(VIH chh tigga   in foam ats YONE   fair SHVEEG en.)

„Es gibt ein paar tausend Banken in Europa, da kann man nicht alle kennen“

“There’s thousands of banks in Europe and you can’t know all of them”

is how BayernLB supervisory board member and former Bavarian state Economy Minister Erwin Huber (C.S.U.) supposedly explained in his April Fools Day testimony why he gave his approval to purchase the Hypo Alpe Adria yet knew nothing about the Carinthian bank. An S.P.D. politician responded, “Anyone who publicly documents their political inadequacy so authentically is, as the chair of the Economy Committee, a problem.” Mr. Huber has been chairing the Bavarian state parliament’s Economy Committee since October 2013.

Munich prosecutors had said they did not want to prosecute BayernLB’s supervisory board members for approving overpayment of >500 million euros in the purchase deal—plus some bribes that might be easier to prosecute, in separate trials—because the supervisory board was fooled by the dishonest representations of the bank’s management board, the defendants in the current trial. Three high-ranking C.S.U. politicians from the supervisory board have now testified at the management board’s criminal trial and stated that they were satisfied with the information presented to them by the management board in its argument for purchasing the HGAA.

Defendants in the trial of the BayernLB management board include Michael Kemmer, who moved on to become “managing director of the German Bankers’ Association” [Hauptgeschäftsführer des Bankenverbands], “an influential lobbyist.”

At the time BayernLB bought Hypo Alpe Adria, C.S.U. politicians on BayernLB’s supervisory board [Kontrollgremium] such as Bavarian finance minister Kurt Faltlhauser, interior minister Günther Beckstein and economics minister Erwin Huber wanted the Bavarian state bank to expand, into the Balkans. Bavaria’s then-governor Edmund Stoiber (C.S.U.) made a similar statement to journalists while on a visit to Croatia about then, ZDF heute journal reported.

Apparently BayernLB also bought a loss-plagued Hungarian bank that they want to sell.

(Ess   kipped   eye n   pah   t OW! zenned   BONK en   inn   oy ROPE ah,   dah   cannes   mon   nichh t   OLL ah   ken en.)

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