Minister involved in insider dealing?

7th July 2009, Comments 0 comments

The financial watchdog CBFA has confirmed that an investigation into possible insider dealing by the Belgian Transport Secretary Etienne Schouppe (Flemish Christian Democrat) is underway.

The investigation hinges on the sale of KBC Ancora shares. KBC Ancora is a holding company and one of the main shareholders of KBC bank.

Schouppe is understood to have sold KBC Ancora shares just before the Belgian Government stepped in to shore up KBC operations.

When the government's move became public knowledge the share price plunged 30%.

The Commission for Banking and Finances (CBFA) has drawn up a dossier and passed it on to the chief public prosecutor's office.

The amount involved in the share operation is unclear.

Proving insider dealing is no easy matter. Earlier the Belgian Foreign Minister Karel De Gucht (Flemish Liberal) also faced similar allegations relating to sale of Fortis shares.

The public prosecutor recommended that De Gucht should not be prosecuted.

Schouppe denies

Schouppe is denying everything. He told VRT that he was not involved in insider dealing and was not aware of the KBC rescue operation.

0 Comments To This Article