Landsbanki Resolution Committee Charges Banker Skip to content

Landsbanki Resolution Committee Charges Banker

By Iceland Review

The resolution committee of old Landsbanki Bank has filed a charge against a high-ranking employee of the bank due to suspicion of severe embezzlement involving a single transaction of more than ISK 100 million.

The headquarters of Landsbanki Bank in Reykjavík. Copyright: Icelandic Photo Agency.

“We have received one report on embezzlement from the [Landsbanki] resolution committee, I can confirm that,” Helgi Magnús Gunnarsson, prosecutor at the National Commissioner of the Icelandic Police – Unit for the Investigation and Prosecution of Economic and Environmental Crimes, told Fréttabladid.

According to Morgunbladid, the high-ranking Landsbanki employee in question transferred ISK 107 million (USD 923,000, EUR 695,000) from the account of a holding company, which is registered abroad and is in the ownership of Landsbanki, to his personal account.

The accused explained that the transaction had been made to “save deposits” after the emergency law took effect.

Fréttabladid reports that the transaction was made shortly after the bank collapsed, before mid-October. The resolution committee took control of Landsbanki on October 7.

Fréttabladid was unable to reach chairman of the Landsbanki resolution committee Lárus Finnbogason before printing this story.

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