Wirecard investors target EY parent for 1.5 billion euros in compensation By Reuters

LONDON (Reuters) – European investor marketing campaign group Higher Finance mentioned on Wednesday it has arrange a basis to assist 30,000 traders get better the 1.5 billion euros ($1.64 billion) they misplaced when German funds firm Wirecard collapsed in 2020.

Higher Finance mentioned the inspiration has been arrange underneath Dutch legislation to focus on the worldwide mum or dad of EY, the accounting agency which audited Wirecard’s books.

“The benefit of utilizing a Dutch basis opens up the potential for reaching a settlement with EY, together with EY World, for all injured Wirecard traders in Europe,” mentioned Marc Tuengler, managing director of DSW, a German investor group which has teamed up with Higher Finance to arrange the inspiration.

“The selection of a Dutch basis provides choices that aren’t obtainable underneath German legislation,” Tuengler mentioned in a press release.

EY had no instant remark.

Wirecard, based in 1999, started by processing funds for playing and pornography web sites earlier than changing into a fintech star and a member of Germany’s blue chip .

It ended by submitting for insolvency in June 2020, owing collectors virtually $4 billion, after disclosing a 1.9 billion gap in its accounts that EY mentioned was the results of a classy world fraud.

Klaus Nieding, of Nieding+Barth legislation agency, mentioned if EY in Germany or globally is unwilling to settle amicably, then the traders will go to courtroom, with litigation prices coated by the inspiration.

($1 = 0.9173 euros)