Further banking scandal hits Hypo-Alpe-Adria
The Local · 25 Oct 2014, 23:18
Published: 25 Oct 2014 23:18 GMT+02:00
- Vienna's €19 billion ‘Hypotopia’ city (23 Oct 14)
- Austria might move ÖVAG assets to Hypo (01 Sep 14)
- Hypo bank makes further shocking losses (28 Aug 14)
- Hypo bank defaults on bond payments (07 Aug 14)
An investigation which has been running since 2013 of seven senior managers of the Italian subsidiary of Austrian failed bank Hypo-Alpe-Adria has now revealed that they were collecting illegal interest at a rate of €88 million over 54,000 leases since 2004.
In recent years, customers had been complaining about the nature of the interest rate calculations for the lease agreements, which were supported by investigation of a local TV channel.
In 2013, tax inspectors conducted a search of the headquarters of the Hypo-Alpe-Adria Italia bank in the northern Italian city of Udine. The seven managers now face trial for fraud.