ZURICH (AFP) – Swiss bank Julius Baer said yesterday it would pay about CHF150 million (USD162 million) following a ruling over unauthorised withdrawals at an East German trading company.
The German agency responsible for reunification has been pursuing Julius Baer since 2014 as the successor to Cantrade bank concerning the withdrawals made between 1990 and 1992.
The agency has been tracking down funds spirited away by East German officials when the communist regime collapsed in 1990. Julius Baer had successfully defended itself in lower courts but it said a Swiss Federal Supreme Court ruling meant it would have to pay CHF97 million plus accrued interest over the claim. It said in a statement it had already set aside the total amount.
Julius Baer added it would pursue compensation from UBS, from which it bought the parent company of Cantrade, which it said was aware of the claims at the time of the sale.