< Back to previous page

SFO to investigate Kaupthing

Published on 17 Dec 2009 under category: legal

The Serious Fraud Office (SFO) is investigating Kaupthing.

A probe into the failed Icelandic bank has been launched in a bid to determine the exact reason behind the collapse of the financial institution.

The body will look into whether fraud crimes were evident prior to the demise of the bank.

A major part of the investigation will focus on the Kaupthing Edge account which offered interest rates of more than seven per cent to consumers.

The SFO will examine whether customers were misled into opening this kind of account.

Meanwhile, investigators are also thought to be interested in determining why large sums of money were withdrawn from the bank in the weeks before its collapse.

Kaupthing Bank changed its name to Arion Banki last month.

This came after the Icelandic Financial Supervisory Authority took control of the financial institution during the Icelandic banking crisis in October 2008.

If you require advice on Corporate Fraud please call us on +44 (0)20 7831 0101 and ask for Dan Hyde.