Sunday, 6th December 2020- ISAAN-NEWS und ISAAN-LIVE - independent, none political, neutral - reports!

Secret documents put financial overseers in trouble

Wirecard scandal - government - Bafin - committee of inquiry - nil
Embarrassing omissions:
Documents from the Bundestag investigative committee show how slow and flawed the financial supervision Bafin acted in the Wirecard affair.
"With the knowledge from back then" , so Bafin boss Felix Hufeld said in an interview these days, the supervision was "appropriate and correct" acted. But there are increasingly clear indications that the Bafin also "back then", that is, in the months and years before the collapse of the previous one Dax group Wirecard, too slowly, incorrectly and one-sidedly dealt with suspected balance sheet fraud, money laundering, market manipulation and breach of trust. Because of these possible criminal offenses, the Munich public prosecutor is now investigating more than 20 former Wirecard managers. (Note, hopeless investigation, as before 10 years ago.)
How deeply the Bafin slept for a long time, or better, how deeply insider trading took advantage of it! ,
himself indicates a report of the internal audit of the financial supervision, which is available. He concludes The authority shows organizational optimization potential , for example in the cooperation of different business areas, in the coordination with the European Central Bank (ECB) or when dealing with references to irregularities that are brought to the Bafin from outside.
So went through mid-July on Wirecard 87 reports to Bafin, more than to any other group fully or partially supervised by Bafin. (Of course, BaFin Don't answer that, because you'd rather play the casual investor in Wirecard shares, a brisk insider game!)
However, such suspicious activity reports are not always (not always?, Better never!) Forwarded by the whistleblower to the responsible department, in addition, there was apparently no place that had an overall picture of the multitude of references. (In Germany you live in the digital stone age!)
For example, the internal audit department (IR) reported on a tip from a person who used to work at Wirecard in December 2019, who stated that Wirecard had been forced to do so and to be threatened. At this point in time, a special audit of the balance sheets by the auditing company KPMG was already in progress. "From an IR perspective this notice would have been passed on due to the reference to the ongoing audit by KPMG (known to the Bafin) despite a lack of responsibility can ", it says in the audit report.
"Dear Hans" should provide clarification
The lack of responsibility, it runs like a red thread through the fatal non-relationship between supervision and Wirecard.
The Bafin always withdraws from the fact that Wirecard was not classified as a financial holding under the European CRR regulation, but as a technology company, it is therefore only responsible for the supervision of the group subsidiary Wirecard Bank, with the mother Wirecard AG, however, has no access. Completely correct, the Bafin was and is not responsible, it is only responsible for the insider Hanel!)
The example of money laundering shows the chaos that this point of view caused around Wirecard.
So the auditing company EY assigned the administrative district Niederbayern pointed out in February 2020 that they consider Wirecard AG to be a financial company within the meaning of the Money Laundering Act for which the government of Lower Bavaria is responsible.
The Bavarians initially saw it that way, but after the collapse of the group rejected any responsibility - as did the Bafin.
In a letter dated June 22, 2020, the authority stated to the government of Lower Bavaria that it also considered Wirecard AG to be a financial company in the sense of the Money Laundering Act, for which the Lower Bavaria are responsible.
A confidential email correspondence between the CDU chairman in the Bundestag finance committee, Hans Michelbach,
and the Bavarian Interior Minister Joachim Herrmann shows how irritated the Union politicians were by the position of the Bafin. On August 12, Michelbach wrote to Herrmann that it was of great interest to him: with which one Reason that Bafin classified Wirecard AG as a financial company against the government of Lower Bavaria on June 22nd, 2020 ". He sees it as “a definite one Contradiction to be clarified to the repeated assessments of the Bafin that Wirecard AG is not a financial holding:
Dear Hans , replies Minister Herrmann ten days later: I ask you ... to clarify why Wirecard AG and others not as a financial holding was classified under the supervision of the Bafin, although it might have been classified as such:
What is confusing the two Christian Socials here - be it accidentally or to distract from their own responsibilities in relation to money laundering - is this Classification as a financial holding according to the European regulation on capital requirements (CRR) and the classification as a financial company according to the German Money Laundering Act.
The left's financial policy spokesman, Fabio De Masi, sharply criticizes the back and forth between Bafin and Bavaria and the unclear responsibilities. "In the government you play supervisory tennis, "says the financial expert." As a result, nobody was responsible for supervising money laundering over a Dax company. "
Fatal solo effort
The internal audit report of Bafin also shows that the authority itself had doubts until the bitter end as to whether the Wirecard Group would not act as a financial holding should be classified. In 2017, the Bafin based on the balance sheet figures from 2015 made its current classification, the Bundesbank and ECB made the decision With. At the time, the Bafin came to the conclusion that, although not Wirecard AG, but the wholly owned subsidiary Wirecard Acquiring & Issuing GmbH (WCAI) was a financial holding, which in turn included Wirecard Bank.
For various reasons, Wirecard AG and the bank then considered and this is where the "crux" lies in the scandal, Wirecard AG and Wirecard Bank, are completely separate companies, one of the reasons why Markus Braun did not know anything. to reorganize the group so that the bank is directly with the parent company and not would be more hung at the WCAI.
Years of back and forth ensued as to whether such a reorganization should take place, in the meantime intensified the EU regulates when a company should be classified as a financial group.
The Bafin finally came to the conclusion in spring 2020 that it should be checked again whether Wirecard AG is a financial holding, based on more recent figures. However, such an examination did not take place and the group went bankrupt in the way of the guards.
Left-wing politician De Masi criticizes that Bafin fell for Wirecard when it came to the question of its classification. "If the Bafin had questioned the bloated balance sheets more, the Wirecard Bank would have been much more important to Wirecard AG, "argues De Masi." Then Wirecard AG would have been a financial holding company, and thus the supervision would have been with the Bafin. ".
Other reports
Was Markus Braun the leader or a useful idiot ?: The Wireclan, a clan of highly intelligent managers!
After the Wirecard case: The new Financial Supervision Act is Murks or Bafin a club of insiders!
On the other hand, it is undisputed that Bafin is responsible for the market supervision of all listed companies and thus also for Wirecard AG, when it comes to things like disclosure requirements and market manipulation. However, the Bonn authority initially had critical journalists British "Financial Times" and short sellers reported on suspicion of market manipulation and at the end of February 2019 a so-called short sale ban imposed, so speculation on a falling Wirecard rate is prohibited.
It is now becoming increasingly clear that this decision was a solo effort and was based on wrong assumptions. The Bundesbank was the second to decline Supervision authority in addition to the Bafin such a ban at that time, as can be seen from the files of the Bundestag investigation committee, which is currently busy with the Wirecard scandal.
At the beginning of 2019, the price of the Wirecard share fluctuated sharply, around the reporting of the "Financial Times" about accounting inconsistencies in the former Dax group. The reporters quickly came under suspicion of doing common cause with speculators by pre-empting them Provide information. The price fluctuations of the Wirecard share served the Bafin as evidence of its thesis and at the same time the profits of the employees in the Insider trading of Wirecard papers.
On the grounds of having to protect the financial market, the supervisory authority banned the short sale of Wirecard shares for two months from mid-February. At In a short sale, market participants sell a share that they do not own but have borrowed. Does their course actually fall - for example because of bad news - buy back the stock cheaper. After the stock has been returned to the lender plus a small loan fee the exchange rate difference remains as profit. (The Bafin Roulette worked - full black 13!)
But it is now clear that the price swings of the Wirecard share not were due to an unfair interaction between speculators and reporters. This is evidenced, among other things, by an email from an employee of the Deutsche Börse subsidiary Eurex to an employee of the Hessian Ministry of Economic Affairs from 7. July 2020, which can be found in the documents of the committee of inquiry. & # 8239; Eurex had heavy price losses, especially on two days after the V publication of articles investigated.
The letter from the Eurex employee states: "As a result, no clear indications of market manipulation or insider trading could be concretized." It was decided to forward the analysis and its results to the Bafin.
The financial market law department in the SPD-led Ministry of Justice also bluntly criticizes the Bafin’s approach to market manipulation. "After our The Bafin became aware of criminal charges in April 2019 and June 2020 for market manipulation (against themselves? The Bafin was the biggest manipulator!) at the Munich I public prosecutor's office, "it says in an internal e-mail from the ministerial officials." Criminal charges for accounting fraud and that is what matters To the best of our knowledge, the Bafin (despite the statutory obligation in Section 110 (1) WpHG) did not provide it in the context of yes in the Wirecard case Bafin only filed a complaint against the Wirecard management board in June 2020 for market manipulation. By then, however, the fraud had long been uncovered by others.

Sanata Claus News - Braun talks

December 5, 2020, 10:54 am: Economic scandal - Ex-Wirecard boss testifies to investigators - Corona silence
Markus Braun is said to have led a fraudulent gang, and there is talk of a "military-comradely" corps spirit. For a long time he was silent about the allegations. Now he wants to talk.
Markus Braun has been silent for more than four months since his imprisonment; did not comment on the serious allegations against him. Now the former wants Talk to Wirecard boss. According to information from the Süddeutsche Zeitung, his first interrogation at the Munich I public prosecutor is planned for the beginning of next week. Accompanied by his defense attorney Alfred Dierlamm, Braun wants to tell what he thinks there is to be said about the scandal at Wirecard.
It should be exciting. In the Wirecard investigation committee of the Bundestag Braun had recently refused to testify. That is his right as a suspect in a criminal case. But although it was foreseeable that he would not comment on the allegations against him, the U-Committee had invited Braun anyway, what about one Spectacle led.
Braun had nothing to say and will not say anything except that he knew nothing about anything or that he did not do anything illegal!
Now Braun testifies in camera; Surprises are hardly to be expected. He already stated through his lawyers in the summer he rejects all allegations. This is unlikely to change, despite serious accusations from the public prosecutor. The Wirecard committee of inquiry recently of the Bundestag wrote that according to the current status of the investigation, Braun has acted as a "control and management authority" within a fraudulent gang at Wirecard acts.
Braun built a "hierarchical system" that worked on the principle of "divide and rule". This system is from a "military-comradely Corps spirit and oaths of loyalty to one another "had been shaped. Braun had given" strategic instructions and specific business actions, "according to the public prosecutor accuses him of fraud in the billions, falsification of accounts and other offenses
The allegations are mainly based on the testimony of a key witness; of a former Wirecard manager who is also in custody. The key witness has Oral and written comprehensive information provided and Braun, the hiding ex-Wirecard board member Jan Marsalek and other group managers heavily burdened. What proves to be true remains to be seen.
Obviously Braun doesn't want to have known anything about it
The key witness is the only former confidante of Marsalek (von Marsalek but certainly not von Braun, so a completely useless witness) who has unpacked and made a confession. Marsalek is considered to be the head of the alleged fraud gang, which is held responsible for damages to the shareholders, the house banks and the investors of Wirecard amounting to more than 20 billion euros. Braun wants everything rejects, did not know about fraud, false balance sheets and other things.
It is not known where Braun is interrogated; whether in prison or at the public prosecutor's office or the police in Munich. The former Wirecard boss is seated in the correctional facility in Augsburg-Gablingen. The former Audi CEO Rupert Stadler was also in custody there in 2018. He said in jail several times on the fraud allegations against him in the emissions affair. Stadler rejected all allegations, but was released and is on trial in Munich today, where he continues to protest his innocence.
In large business cases it has repeatedly happened that managers were in custody, then testified and finally got released - without Confession, but because there was no longer any risk of escape and blackout. Whether that would also be an option at Braun, perhaps for a million-dollar deposit like his first arrest in June is currently not in sight. In January 2021, however, the semi-annual detention test is due anyway. Brown was in July according to the statements of the key witness was arrested again. The judiciary has expanded the arrest warrant against him several times to include new allegations.
What is Braun being accused of? A military dictatorship over its employees? A ridiculous and inappropriate accusation of one desperate public prosecutor who has nothing in hand. Being strict and organized with your employees is rather good and certainly not against that Law. Braun is an intelligent and very experienced investment banker, he certainly didn't do anything wrong, he always knew exactly what he was doing, run a technology company!

The real criminals

Failed all along the line
Hear nothing, see nothing, say nothing: The APAS supervisory authority accuses the auditing company EY of failure in the Wirecard case. This criminal complaint is tough: the supervisory authority accuses the EY auditors, probably the real criminals in the Wirecard affair, with serious errors. They now want to defend themselves in the Bundestag investigation committee.
The public prosecutor's office can prosecute a serious criminal economic offense by auditors here. Only that has little to do with the Wirecard scandal, a scandal, yes, but criminal, questionable.
New details in the Wirecard scandal: These are the specific allegations against EY. For the first time, the Apas authority has counted several specific allegations against the longstanding Wirecard auditor. EY does not feel that it has been sufficiently heard; the investor plaintiffs see themselves confirmed.
Düsseldorf, Frankfurt The auditor supervision Apas has compiled several specific indications of possible misconduct by the EY auditors in the Wirecard case. This emerges from two letters to the financial supervisory authority Bafin and the public prosecutor's office in Berlin from the end of September. About the specific content reported to the Isaan News several people familiar with the writing.
The allegations concern several years of the balance sheet audit at the payment service provider Wirecard. The group from Aschheim near Munich was at the end of June Perished in the course of a billion-dollar accounting scandal. EY had signed off its balance sheets for ten years.
The Handelsblatt had already reported last week that the Apas sees evidence of crimes committed by the EY actors, such as had leaked out of the Wirecard investigation committee.
Now the specific allegations of the Apas are becoming clearer. According to Handelsblatt information, these affect several years and test cycles from EY, 2015 to 2017. The Apas' letter literally states: From the point of view of the authority, “the audit reports may have been incorrectly reported or significant circumstances may have been concealed”.
Section 321 of the Commercial Code clearly defines what the auditor must report: He must explain the type and scope of the audit and state why it is has taken or failed to perform certain actions. If an auditor has proven to report incorrectly or withholds important facts, He is threatened with consequences from Paragraph 332 of the HGB: It includes imprisonment of up to three years or fines .
These are the allegations in detail:
1. Objection when dealing with allegations of money laundering and fraud The Apas criticizes that EY did not investigate a contradiction in the statements of the Wirecard management board. This refers to how to deal with that often quoted the so-called Zatarra report by the British shortseller Fraser Perring, which was published anonymously in 2016, and serious allegations against Wirecard raised, including money laundering and fraud allegations.
Auditors are questionable companies. You work with young, untrained, inexperienced consultants whose job it is to generate sales for the good of the company. Report culture is not, from their own observations (from Isaan News staff), the consultants talk about your family and Baby time off, rarely over work.
In Corona Remote times, things are even better, you don't even have to check anything that you don't understand anything about.

Wirecard Bank 2021 at the end

End for subsidiary
Wirecard-Bank is to be processed within a year
The scandalous company Wirecard is being filleted. As the new boss of the bank subsidiary, Frank Hellwig is to shut down the financial institution in the next twelve months.
The dismantling of the Wirecard Group is progressing. At the beginning of the week, the Executive Board and the Supervisory Board of Wirecard Bank were newly appointed according to SPIEGEL information. Since December 1, Frank Hellwig, who has just moved to the supervisory board, has been the head of the group subsidiary.
Hellwig worked for almost ten years at the bad bank FMS Wertmanagement, where the legacy issues of Hypo Real Estate, which collapsed in the financial crisis, are handled. Hellwig, 60, should shut down the Wirecard Bank much faster, namely by the end of next year. Jörg Brand remains on the board alongside him. A three headed The supervisory board supplements the personnel table.
The insolvency administrator of Wirecard AG, Michael Jaffé, recently sold the Group's core business to the Spanish bank Santander . She does that too The technology of the bank subsidiary and many employees necessary for the payment processing , but not the institute itself.
Isaan News has already reported about it. Marsalek remains in action. Loyal employees who now work for Santander are discreetly directed by him.
Wirecard Bank is not insolvent, but has no future. It has already shrunk significantly and, according to the parent company's insolvency report, last had still liabilities to customers of 387 million euros. The bank had other Wirecard subsidiaries and dubious external partner companies with hundreds of millions Euros in loans. The public prosecutor's office suspects that this money has been embezzled, and they are also investigating those responsible for money laundering of the institute
Everything is just suspicion, no evidence, the public prosecutor has no specialists to substantiate such suspicions. As so often, just empty words.

What is left ...

Regardless of whether small or large investors: 11,500 victims (victims? No, stupid, greedy investors and money launderers) of the Wirecard scandal want their money back. 74 of them wanted to meet now.
Most of the chairs remained empty, who wants to be recognized? Laundering money is criminal, and stupidity is stupidity!
Someone has to count the billions that Germany's biggest economic scandal cost. The victims of Wirecard fraud are therefore in front Wednesday morning at 7.30 am in the cold in front of the Löwenbräukeller in Munich; 74 people who want their money back. "Meeting of creditors" is called Event at which the broken pieces of the Dax group are swept up. 1.9 billion of alleged escrow accounts are missing anywhere in Asia that has turned out in late June. A few days later, Wirecard went bankrupt. Former CEO Markus Braun has been in custody since the summer, his right hand, Jan Marsalek, has gone into hiding, the whereabouts of the billions and everything else is unclear.
In truth, these alleged believers are nothing more than greedy investors who have listened to the fine words of the best investment seller. have closed the floodplains from greed, because there have been enough examples in the past, lazy investments, stocks that: overnight "rose 400%, cashed in and The End!
The prosecutors speak of a criminal gang and commercial fraud. Quite a few people, including former Wirecard employees, have theirs Lost retirement savings. The desperation turned into death threats in the summer. Will that be repeated in the beer cellar this morning?
Stupidity expresses itself in anger against one's own stupidity!

Track to Hamburg-CumEx Scholz?

STOCK MARKET PRICE MANIPULATION? Wirecard traces lead to Hamburg
A house of cards in the Dax: How Wirecard rose - and very prominent lobbyists helped.
Lobbyist Olaf Scholz, the experienced CumEx expert
Bafin - Insider Trading Club
The Chancellor - lobbyist in China
von Guttenberg - fired politician but still close to the Chancellor
etc ... read on at https://wirecard-news.com

Back to the table of contents

Fazit

Can a candidate for Chancellor be so "inept" or has he knowingly violated his own orders?

More Isaan News - on BaFin and Olaf Scholz, Jan Marsalek and the "Criminal Club"
Don't forget! the WireCard questionnaire!
Marsalek's Soeldner Armee in Libyen..
The Bafin Zocker - Insider Trading - The Criminal Club continues and the Politics is in between
Jan send - From Russia with Love
Under Investigation
BaFin und der Wirecard Betrug
Olaf Scholz am 17.7.2020 mitten drin
Scholz Knew about the entire WireCard since February2019-but Jan Marsalek was the Darling of the Nation and everybody needed to protect his millions!
Scholz wusste noch viel mehr