Five former Bank of Cyprus officials referred to trial before the Criminal court

Five former Bank of Cyprus officials referred to trial before the Criminal court

Nicosia District Court has referred to the Criminal Court five former Bank of Cyprus officials and the Bank as a legal entity, in the context of a broad investigation of the 2012 financial meltdown.

The five officials are: former Bank of Cyprus Board Chairmen Theodoros Aristodemou and his successor Andreas Artemi, former CEO Andreas Eliades and his successor Yiannis Kypri and former first deputy CEO Yiannis Pehlivanides, in charge of the bank`s Greek operations.

The Criminal Court will convene on February 27.

They face charges concerning market abuse and conspiracy to deceive investors.

They are charged with failure to inform the public that the bank`s capital needs had risen significantly compared to the €200 million which were announced on May 5, 2012 and with failure to take the necessary action to enable the company to announce that the bank`s capital needs had increased significantly from the €200 million announced on May 5 2012.

Excluded from international markets, Cyprus applied and received a €10 billion financial assistance from the EU and IMF to avert the collapse its banking sector and cover its fiscal needs. The programme featured an unprecedented haircut to recapatilise Bank of Cyprus. As a result almost half of deposits over €100,000 converted to shares, whereas the island`s second largest lender has been wound down.

CNA/GS/MM/2015
ENDS, CYPRUS NEWS AGENCY