Deutsche Bank seized Saddam millions

5th July 2004, Comments 0 comments

5 July 2004 , HAMBURG - Germany's Deutsche Bank took advantage of a legal loophole last year to seize USD 28 million (EUR 23 million) from an Italian account held by Saddam Hussein, according to a German news report. The money had been deposited by Saddam in 1990 with Deutsche Bank SpA, an Italian subsidiary of the Frankfurt-based bank, said the report in Der Spiegel news magazine. Under terms of UN Security Council resolutions, all of Saddam's money was frozen awaiting the setting up of a post-war develop

5 July 2004

HAMBURG - Germany's Deutsche Bank took advantage of a legal loophole last year to seize USD 28 million (EUR 23 million) from an Italian account held by Saddam Hussein, according to a German news report.

The money had been deposited by Saddam in 1990 with Deutsche Bank SpA, an Italian subsidiary of the Frankfurt-based bank, said the report in Der Spiegel news magazine.

Under terms of UN Security Council resolutions, all of Saddam's money was frozen awaiting the setting up of a post-war development fund for Iraq.

However, Deutsche Bank took advantage of a European Union (EU) regulation allowing banks to seize otherwise frozen accounts for payment of back debts.

That allowed Deutsche Bank to put the USD 28 million toward USD 150 million in back debts, according to the report, which hit newsstands on Monday.

The transaction was rushed through last 22 September, ahead of new EU regulations that took effect on 16 October effectively closing the loophole.

DPA

Subject: German news

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