The bank disclosed the information in its annual report Friday without identifying the board members. The bank said it may also face seizures and fines.
Prosecutors in Cologne, who on Wednesday won their first convictions in the Cum-Ex probe, are looking at more than 500 people in the financial industry. The
“The investigation is still at an early stage and the scope of the investigation may be broadened,” the lender said. It didn’t say whether it had set aside any provisions to cover any financial penalties related to Cum-Ex.
The controversial transactions -- estimated to have cost taxpayers more than 10 billion euros ($10.8 billion) -- involved the rapid sale of shares just before a company paid a dividend. This allowed multiple investors to claim a tax refund on the same dividend payment, according to authorities.
In a separate case related to Cum-Ex, a former banker at the now-defunct Maple Financial Group Inc. was released on 6 million euros bail after being
The practice was named after the Latin term cum/ex, meaning with/without, because the stocks were sold with and delivered without a dividend payment.
(Adds settlement with Frankfurt prosecutors in second-last paragraph.)
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