During the last months, there has been a lot in the news concerning Citibank and the shares of Lehman Brothers. According to the Public Prosecutor, Citibank has cheated on their clients. The harmed clients have already started a legal procedure against Citibank. Despite of the running trial, Citibank's trying to avoid these damaging claims by establishing a new structure that they can declare bankrupt.
Since 2006, Citibank has collected money from the depositors to invest in Lehman Brothers because Citibank had a narrow connection with them. After Lehman Brothers was declared bankrupt, almost 4000 belgian clients discovered that their money was worthless. On this moment, the damaging claims in our country have an amount of 128 million euros.
Although everyone thinks otherwise, Citibank claimed that she handled everything the best way possible. The Public Prosecutor of Brussels has an other opion about what happened. He also expressed this in an advice. After a research, it was believed that Citibank had also received an unusual high amount of money from Lehman Brothers to invest the savings of their clients in deposits of Lehman Brothers.
Hans Bonte of the SP.A warns everyone that Citibank will try to redempt a few hunderd clients who have lost the most money of all the damaged clients. That's their way to withdraw evidence material from the court. The trial starts at 1 December 2009.
What's my own opinion about this? I believe that Citibank should return all the money, some other banks have already done this. I think it's their duty because what happened is in fact their fault. It's also the duty of the bankemployees to know which shares they're selling. Clients expect, if they decide to go a bank, that they will get some good advice about investing their money. I think the government shoudl try to solve these problems, although they can't do much because we are in a dark financial period, by controlling the banks even stricter than they have done before because the authority, who does it now, doesn't seem to do enough.
Source: http://www.nieuwsblad.be/article/detail.aspx?articleeid=782H346K
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I agree with the opinion of Alieke when she says that Citibank should return all the money. In the past there were indead some other banks who have done this.
BeantwoordenVerwijderenI also think that bankemployees always have to know which shares that they are selling.
It's outrageous that 4000 belgian clients have discovered that their money was worthless. And Citibank claimes that they have handled the best way possible. I don't agree with that!
I also agree with Alieke and Jolien. Citibank must return all the money because it's their fault that thousands of people lost their money. When a bank advices you to invest in something, you mostly think it is a good investment. When you do bad things to people, bad things will happen to you.
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