Danske Bank A/S Shareholder Action
This is a shareholder action for shareholders of Danske Bank A/S (the Bank), to be led by specialist Danish law firm NJORD Law.
The action will seek compensation for institutional shareholders who acquired shares in Danske in the period 29 April 2014 to September 2018 inclusive (the Relevant Period) and lost millions of euros in value as a result of perceived errors and omissions committed by the Bank's management and the Bank's failure to disclose to the market the circumstances and magnitude of alleged unlawful activities within its Estonian branch.
Please note, we are not currently proposing to fund a claim on behalf of retail claimants.
Danske Bank is the largest financial institution in Denmark and has a presence in sixteen countries.
In 2007 Danske Bank acquired an Estonian branch as part of its acquisition of Finnish-based Sampo Bank. The Estonian branch held a non-resident portfolio comprising customers from the Russian Federation and the larger Commonwealth of Independent States, including countries such as Azerbaijan and Ukraine.
In 2007 Danske Bank’s management were advised by the Russian Central Bank, via the Danish Financial Supervisory Authority, of concerns regarding the non-resident customers of the Estonian branch, including possible tax and custom payments evasion and criminal activity including money laundering.
Despite many warnings, including a report from a whistle-blower employed in the Estonian branch in early 2014, and audit letters from Group Internal Audit, Danske Bank’s anti-money laundering procedures at the Estonian branch failed to respond and were manifestly inadequate.
It was not until 19 September 2018 that Danske Bank provided sufficient information to inform the market of the true scale of the problems within Danske Bank.
Over the course of 2018, Danske Bank’s shareholders experienced a substantial fall in their share value, shares trading on 2 January 2018 at the equivalent of €25.62 and, following the disclosure of 19 September 2018, trading at the equivalent of €18.70, which is a fall of €6.92 or 27%.
Cause of Action
The shareholder action, being conducted by specialist Danish law firm NJORD Law on behalf of aggrieved shareholders of the Bank, will allege that the Bank:
- breached its obligations of continuous disclosure by failing to disclose the information set out above; and;
- made misleading and deceptive representations to the market regarding its compliance with the law. The claim will allege that, had the Bank's misconduct been disclosed in a timely manner, it would have affected the confidence of shareholders in the management of the Bank and the Bank's shares would have traded at a lower price.
Further details about the proposed claim can be obtained by contacting Omni Bridgeway using the details below.
Current stage of case
Registrations to participate in the Danske Bank A/S shareholder action are now closed.
If you would like further information about the status of the Danske Bank A/S Shareholder action please contact Omni Bridgeway on email at [email protected].