Italian police seize 15 mn euros from Merrill Lynch in probe
Alleged hidden commissions in Verona debt refinancing03 October, 13:16
Investigators at the Verona prosecutor's office suspect Merrill Lynch falsely induced the city government to believe it was financially advantageous to restructure its debt, prompting it to undertake derivative operations worth more than 256 million euros. Investigators suspect the investment bank withheld information regarding 15 million euros in hidden commissions the city would then owe.
The Verona prosecutor's office has placed three Merrill Lynch executives under investigation for suspected aggravated fraud.