BaFin's moves 'enlarged damage' in Wirecard case - German official

Tuesday, 09. February 2021 13:21

The German Ministry of Finance said on Tuesday that the country's financial watchdog BaFin "enlarged the damage on investors and creditors" related to the Wirecard AG scandal as it made a decision to ban short-selling of the company's shares in 2019 that was based on insufficient information.

"In hindsight, further analysis and investigations into the validity of the information available to BaFin would have been necessary. The federal government is of the opinion that the bar for imposing a short-selling ban should be high," Parliamentary State Secretary for Finance Sarah Ryglewski noted.

Therefore, the government intends to widen BaFin's analytical capacities, Ryglewski told Financial Times, admitting that "the ministry of finance did not stop" the regulator's moves that misled investors.

Related Links: Wirecard AG
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