Controversial Bank CEO Resigns

Steinþór Pálsson, who has been CEO of Landsbanki since 2010, resigned today from his post, stemming from growing resentment over the bank’s dealings with the finance company Borgun, RÚV reports.

Steinþór has been at the centre of controversy ever since news broke of Landsbanki’s sale of its shares in the finance company Borgun in 2014. The sale was conducted behind closed doors, despite the bank being 98% owned by the state, and has set off calls for an investigation within parliament.

The news sparked protests, with the protesters themselves entering the bank and demanding Steinþór resign. Steinþór would eventually emerge to speak with protesters, and that confrontation grew quickly heated.

Deputy CEO Hreiðar Bjarnason will immediately take over for Steinþór, but the position will be advertised for in the coming days.