UPDATE 1-Deutsche Bank spying probe claims first scalps

Tue Jul 21, 2009 11:51am EDT
 
[-] Text [+]

* Ibiza shareholder suspects pretty Brazilian was honeytrap

* State prosecutors consider mounting criminal probe

* Two senior Deutsche Bank managers sacked - source

(Adds detail of report, background)

FRANKFURT, July 21 (Reuters) - Deutsche Bank (DBKGn.DE) has sacked two senior managers, a source told Reuters, ahead of a possible criminal probe into alleged surveillance of those it branded troublemakers.

Deutsche Bank on Tuesday declined to comment, saying it was waiting for the outcome of its own investigation into the surveillance of a non-executive director and the alleged monitoring of a critical shareholder and a journalist.

Earlier in the week, state prosecutors said they were considering mounting a criminal investigation. German banks watchdog BaFin has also launched a probe. [ID:nWEA1523]

One source close to the bank said investigators hired by the bank had compiled a 150-plus-page report into the affair, which will soon be discussed by top management.

Although Deutsche Bank's alleged spying appears sporadic compared with the systemic monitoring of workers that forced the chief executive of rail group Deutsche Bahn to quit, it has focused unwanted attention on the lender.

The affair strikes a raw nerve in a country still struggling to come to terms with its past and where spying on citizens was commonplace in the Communist East.

The scandal has claimed two scalps at Deutsche. One source with direct knowledge of the matter said Deutsche's investor relations chief, Wolfram Schmitt, and its head of security in Germany, Rafael Schenz, were no longer working with the bank.

Schmitt declined to comment when reached by Reuters. Schenz did not return calls.

It is the latest development in an affair which has prompted Chief Executive Josef Ackermann to hire a law firm to conduct an investigation that he will personally oversee.

Some of the alleged surveillance happened when Ackermann was chief executive and Clemens Boersig was chairman.

The surveillance allegedly took place as far back as 2001 although the departure of the two managers is linked to events in 2006, when a source says Deutsche Bank kept tabs on shareholder Michael Bohndorf.  Continued...

 

More News

Deutsche Bank dismisses 2 execs in spying probe -WSJ
Tuesday, 21 Jul 2009 12:17am EDT 
Deutsche Bank may face prosecutor's probe on data
Monday, 20 Jul 2009 10:08am EDT 

Featured Broker sponsored link

Editor's Choice

A selection of our best photos from the past 24 hours.  Slideshow 

Most Popular on Reuters

  • Articles
  • Video