Arab Today, arab today belgian authorities probe dexia bank breakup
Last Updated : GMT 21:25:08
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Belgian authorities probe Dexia bank break-up

Arab Today, arab today

Arab Today, arab today Belgian authorities probe Dexia bank break-up

Brussels - AFP

Belgian prosecutors have opened an investigation into the near-collapse of Franco-Belgian bank Dexia after small shareholders filed a complaint, Belgian media said on Friday. Authorities are looking into whether the banking group misled shareholders in the runup to Dexia\'s dismantling on October 2011, according to financial dailies L\'Echo and De Tijd. After the Dolor shareholders group filed a complaint on November 9, the financial crimes section of Belgian police was asked to look for any actions that may warrant punishment, L\'Echo said. Following the preliminary police probe, the prosecutor\'s office decided to open an investigation. First bailed out in 2008 at the height of the global financial crisis, Dexia could not cope with the turmoil of the eurozone debt crisis and France, Belgium and Luxembourg stepped in to rescue and dismantle the bank in October. In December, the European Commission gave the governments three months to come up with a restructuring plan, or a liquidation plan if Dexia does not prove to be viable.  

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