Deutsche Bank eyes financial hit from 2010 Korea brokerage case
FRANKFURT, March 20 (Reuters) - Deutsche Bank said it faces potential damages of about 250 million euros ($270 million) in relation to a 2010 Korean stock market manipulation case, which at the time resulted in a six-month trading ban for Germany's flagship lender.
"These litigations are at stages of proceedings, with verdicts in some actions possible during 2015," the bank said in its annual report published late on Friday.
South Korea's top financial regulator in April 2011 suspended some operations of Deutsche Bank's local brokerage unit for six months after ruling that the bank manipulated the stock market.
The Financial Services Commission (FSC) at the time also took five Deutsche employees to prosecutors for investigation, as they made 45 billion won ($40 million) of improper profit by manipulating the stock market to make their derivatives positions profitable.
The criminal trial commenced in January 2012 and a verdict in respect of Deutsche Securities Korea and one of the indicted employees may be delivered during 2015, Deutsche Bank said in its annual report for 2014.
In addition, parties who allege they incurred losses have filed civil actions in Korean courts against Deutsche Bank, claiming around 250 million euros plus interest and costs in damages, the bank added. ($1 = 0.9258 euros) ($1 = 1,113.0000 won) (Reporting by Arno Schuetze and Jonathan Gould; Editing by Dominic Evans)
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