Deutsche Said To Suspend MDs, New Citi CEO 'Uninspiring'

Departure

Two managing directors were among five employees Deutsche Bank suspended in Frankfurt last week over suspected manipulation of interest rates, according to two people with knowledge of the matter.

Bloomberg reports that two directors and a vice president, who were also responsible for submitting euro interbank offered rates, were the other staff suspended, according to the people, who asked not to be identified because they’re not authorized to speak publicly on the matter.

The firm replaced them with colleagues based in London to ensure continuity for its clients, said one of the people, who declined to name them.

In the meantime, The New York Post reports that Meredith Whitney, the influential bank analyst who garnered Wall Street glory by making accurate calls against Citi as the financial crisis was gathering steam, said she was 'uninspired' by the bank’s newly minted boss, Michael Corbat.

'He didn’t give us an agenda and he didn’t even give us a stamp for when he’s going to give us an agenda, so it left people a little bit uninspired', she said during an interview with Bloomberg TV last week.

Finally, Reuters reports that a German hedge fund founder convicted in his home country of running a Ponzi scheme faces U.S. charges along with an accomplice over frauds that cost investors more than $300m, the U.S. Department of Justice said last week.

K1 Group founder Helmut Kiener, a 53-year-old trained psychologist, was indicted on six counts of wire and bank fraud and three counts of money laundering over alleged schemes to defraud Bear Stearns Cos, Barclays Plc and BNP Paribas.

Deutsche Bank Suspensions Said to Include Directors

Meredith pans New Citi chief

German "mini-Madoff" hedge fund founder indicted in U.S.

image: © C.P.Storm

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