Wirecard Legal Proceedings See Departure of Lead Plaintiff Attorney
In a significant development, lead attorney for the plaintiff in the Wirecard case resigns amid strategic disagreements, complicating the ongoing lawsuit for compensation claims.
The legal proceedings surrounding Wirecard continue to experience significant turbulence as Peter Mattil, the lead attorney representing plaintiffs in a collective lawsuit for compensation, has announced his resignation from the case.
Mattil cited irreconcilable differences with another co-counsel as the primary reason for his exit, specifying that the legal strategies of the two law firms involved were ‘incompatible.’
The case aims to determine whether shareholders of the collapsed financial services company, Wirecard, which declared insolvency in 2020, are entitled to compensation for their losses.
The primary target of these lawsuits is Ernst & Young (EY), the auditing firm that certified the financial statements of Wirecard before its eventual downfall.
Legal experts suggest that the potential for recovering funds from former Wirecard executives, including chairman Markus Braun, appears limited.
The lead plaintiff chosen by the 1st Civil Senate of the Bavarian Supreme Court is a bank clerk from Hesse, who reportedly lost half a million euros in Wirecard shares.
To date, approximately 8,700 investors have filed lawsuits, while an additional 19,000 have registered claims without initiating formal legal actions.
However, the prospects for significant financial redress for these shareholders seem uncertain following a preliminary ruling by the Bavarian Supreme Court in February.
The court stated that claims against EY could not be included in the current proceedings, although it did indicate that shareholders might pursue their compensation claims in separate legal actions.
The collective lawsuit is ongoing alongside the criminal trial of Markus Braun and two co-defendants, who have been under investigation for almost five years.
The trial, which commenced in December 2022, includes charges of gang fraud and other alleged offenses associated with the company's collapse.
Mattil cited irreconcilable differences with another co-counsel as the primary reason for his exit, specifying that the legal strategies of the two law firms involved were ‘incompatible.’
The case aims to determine whether shareholders of the collapsed financial services company, Wirecard, which declared insolvency in 2020, are entitled to compensation for their losses.
The primary target of these lawsuits is Ernst & Young (EY), the auditing firm that certified the financial statements of Wirecard before its eventual downfall.
Legal experts suggest that the potential for recovering funds from former Wirecard executives, including chairman Markus Braun, appears limited.
The lead plaintiff chosen by the 1st Civil Senate of the Bavarian Supreme Court is a bank clerk from Hesse, who reportedly lost half a million euros in Wirecard shares.
To date, approximately 8,700 investors have filed lawsuits, while an additional 19,000 have registered claims without initiating formal legal actions.
However, the prospects for significant financial redress for these shareholders seem uncertain following a preliminary ruling by the Bavarian Supreme Court in February.
The court stated that claims against EY could not be included in the current proceedings, although it did indicate that shareholders might pursue their compensation claims in separate legal actions.
The collective lawsuit is ongoing alongside the criminal trial of Markus Braun and two co-defendants, who have been under investigation for almost five years.
The trial, which commenced in December 2022, includes charges of gang fraud and other alleged offenses associated with the company's collapse.
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