Previous post Next post

Julius Bär ordered to repay CHF153 million missing German funds

Julius Bär has been hit with two large write-downs in a matter of weeks. (Keystone / Alessandro Della Bella)

Swiss bank Julius Bär has been ordered to pay CHF153 million ($155 million) to settle a claim that one of its subsidiaries pilfered money from Germany during the reunification of the country in the 1990s.

A Swiss court on Wednesday overturned a previous verdict that Julius Bär should not he held responsible. The Swiss wealth manager has been pursued for damages by a German state department that tracks down assets from the former East Germany.

Julius Bär has always maintained that it was not to blame, having acquired a German bank in 2005 that carried out the irregularities between 1990 and 1992. In 2016, a Zurich court agreed with Julius Bär’s argument, a decision that was confirmed by another court last year. But an appeal has now sided with the German state complainant.

As a result, Julius Bär has written down CHF153 millionexternal link (comprising CHF97 million plus accrued interest since 2009) from this year’s profits. The bank says it will appeal the decision to the Supreme Court.

“Julius Baer has always contested and continues contesting the claims,” it stated, adding that it would seek reimbursement from UBS, from whom it bought the German bank Cantrade in 2005.

In a separate case last month, Julius Bär also had to write down CHF99 million of losses incurred by its Italian-based asset management unit Kairos.

Full story here Are you the author?
About Swissinfo
Swissinfo
SWI swissinfo.ch – the international service of the Swiss Broadcasting Corporation (SBC). Since 1999, swissinfo.ch has fulfilled the federal government’s mandate to distribute information about Switzerland internationally, supplementing the online offerings of the radio and television stations of the SBC. Today, the international service is directed above all at an international audience interested in Switzerland, as well as at Swiss citizens living abroad.
Previous post See more for 3.) Swissinfo Business and Economy Next post
Tags: ,

Permanent link to this article: https://snbchf.com/2019/12/julius-bar-ordered-repay-chf153-million-missing-german-funds/

Leave a Reply

Your email address will not be published.

You may use these HTML tags and attributes: <a href="" title=""> <abbr title=""> <acronym title=""> <b> <blockquote cite=""> <cite> <code> <del datetime=""> <em> <i> <q cite=""> <s> <strike> <strong>

This site uses Akismet to reduce spam. Learn how your comment data is processed.