From Iceland — More Arrests of Former Kaupthing Employees to Come

More Arrests of Former Kaupthing Employees to Come

Published May 14, 2010

The special prosecutor suspects about 20 different Kaupthing employees have engaged in prosecutable activities at the company. Some of these individuals still work at the company, now known as Arion Banki.
Questioning continues of individuals arrested so far. Magnús Guðmundsson stands to be released today, while Hreiðar Már Sigurðsson and Ingólfur Helgason stand to be released next week.
The Special Investigative Commission (SIC) report on Iceland’s economic collapse pointed to a lot of suspicious activity within Kaupthing, indicating that many of the higher-ups had engaged in market manipulation and what is known as “control fraud”; using one’s own company as a means of defrauding others.
Former Kaupthing chairman of the board Sigurður Einarsson is still being sought by Icelandic authorities, but he has as yet refused to return to Iceland. A warrant for his arrest has been filed with Interpol.

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