A law firm based in Brusells, Deminor, on Friday, said that it has filed a legal complaint against the former executive officer of Danske Bank, Thomas Borgen on behalf of 155 institutional investors for damages up to $387 million. This is a case arising from the bank’s failure to screen almost 200 billion euros flows through the Estonian operations, which were later confirmed suspicious. The action by Deminor was taken when the investors realized that the bank’s market value reduced to half in 2018. Since he was fired in 2018, Borgen, 55, has faced many criminal charges from the Police in Denmark. Deminor said it believes that the investors were not informed about the true financial state of the bank since 2014 and that a report published in 2018 showed that Borgen and some senior management were briefed in detail about the risk associated with the illegal activities in Estonia, but according to a partner at Deminor Edouard, Borgen put a deaf hear because of his perceived and expected benefits. Martin Blessing, a 56-year old German, and Raija-Leena, a 59-year olf Finn are expected to join Danske Supervisory board next Month. The bank also said that it intends to increase the board members base pay by a minimum of 23% based on the increase in the board workload since the scandal and the increased in requirements and expectations from regulators and stakeholders.
