ISAF Danske Bank Lawsuit
CONN, Stamford– International Securities Associations and Foundations Management Company (“ISAF”) announces the formation of an international coalition of leading American, German and Dutch law firms and the appointment of the preeminent Danish law firm, Németh Sigetty, to proceed with a lawsuit against Danske Bank A/S (“Danske” or the “Bank”) to pursue compensation for damaged investors after revelations of money laundering, financial mismanagement and deficient regulatory disclosures.
The lawsuit will be filed in Copenhagen, Denmark on behalf of investors who suffered investment losses in Danske’s share price after various disclosures related to an estimated EUR €200 billion money transfer scheme involving non-resident Eastern European and Russian customers in the Bank’s Estonian Branch. Information about critical lapses in Danske’s ‘know your customer’ and anti-money laundering internal enforcement policies, and its failure to act upon both internal and external warnings of non-compliance, caused a more than a 40% decline in Danske’s stock price resulting in losses for investors measured in tens of billions of Danish kroner (billions of US dollars).
Some of the world’s leading law firms, including the US-based law firm Pomerantz LLP, that recently secured a USD $3 billion investor settlement from Petrobras in the US; the US-based law firm Lieff Cabraser Heimann & Bernstein, LLP that has litigated and resolved some of the most important complex civil and securities litigations in recent history, including the recent USD $15 billion civil settlement with Volkswagen on behalf of American diesel vehicle owners and lessees; the German law firm, TILP Litigation Rechtsanwaltsgesellschaft mbH, the lead counsel in the Euro €10 billion collective international investor claim action against Volkswagen in Germany; and the Dutch law firm, Lemstra Van der Korst N.V., that represents a foundation for damaged investors in Petrobras having billions of US dollars and euros in losses in Petrobras, as well as similar foundations for Libor rate rigging and other matters. The coalition is working together with Danish law firm Németh Sigetty to bring justice to investors who lost as much as USD $15 billion, as a result of revelations of Danske’s money laundering scheme, financial mismanagement and deficient regulatory disclosures.
ISAF is an investor protection interest company. ISAF provides administration and organizes the collection of client trading data, investor loss calculations and certification, investor related litigation documentation and full funding for the group litigation.
In terms of Collective Investor Actions, Denmark is an opt-in jurisdiction. The process to recover losses requires damaged investors to proactively join an organized litigation “Group” which will aggregate each investor’s loss into a collective loss in a single claim and action before the Danish Court. Németh Sigetty will file this Group litigation on behalf of the eligible investors organized via the ISAF coalition in the coming months. Group litigation, such as the litigation against Danske Bank, is a costly proposition in Denmark.
The investors joining the ISAF coalition litigation in Denmark do not have to pay any upfront or running costs during this litigation, including: any legal fees, court fees, potential counter-party legal cost risk guarantees, claims analysis costs or administration costs. If the litigation results in a financial settlement or judgment for damaged investors, the ISAF coalition will only collect a percentage-based success fee at the very end of the process.
Investors who own or have owned shares of Danske Bank on the Copenhagen Stock Exchange (Nasdaq Copenhagen) between 2007-2018 and suffered losses after the revelations in 2017 and 2018 of the critical deficiencies in Danske Bank’s anti-money laundering protocols and procedures are eligible to pursue compensation via this ISAF-sponsored Group litigation in Denmark.
The coalition includes:
- Law Firms:
- Németh Sigetty – The lawyers at Németh Sigetty have a well-deserved reputation for handling major, complex, and high-stakes disputes against both private party litigants and government authorities and have vast experience with investor group litigations in Denmark. Németh Sigetty has had a yearlong cooperation with the Danish Shareholders’ Association and has represented damaged investors in the Amagerbanken and Pandora litigations.
- Pomerantz LLP – An American law firm founded over 80 years ago that specializes in securities litigation and has served as lead counsel in many major cases, including as lead counsel in the Petrobras securities fraud class action in the U.S. which resulted in a USD $3 billion settlement, one of the largest shareholder settlements in US history.
- Lieff Cabraser Heimann & Bernstein, LLP – American law firm Lieff Cabraser Heimann & Bernstein, LLP has litigated and resolved some of the most important complex civil and securities litigations in recent history, including the recent $15 billion civil settlement with Volkswagen on behalf of American diesel vehicle owners and lessees.
- TILP Litigation Rechtsanwaltsgesellschaft mbH – The leading collective action law firm in Germany, pursuing compensation for investment losses in securities fraud cases in Germany and throughout Europe. TILP has been appointed as the law firm to represent the model plaintiff in the highly publicized Volkswagen “Dieselgate” KapMuG collective litigation proceeding in Braunschweig, Germany. TILP Litigation is litigating the Volkswagen case on behalf of international investors with damages claims in excess of EUR €9.5 billion.
- Lemstra Van der Korst – A leading law firm in the Netherlands with vast experience representing international investors in Dutch collective litigation and global settlements law (WCAM). Lemstra has recently secured a critical jurisdiction ruling in the highly publicized group litigation in the Netherlands on behalf of damaged Petrobras investors. Lemstra Van der Korst has represented damaged international shareholders in global settlements, including the Converium and Royal Dutch Shell WCAM settlements.
- Administrators, Funders, Service Providers and Consultants:
- ISAF Management – ISAF Management Company and ISAF for Damaged Danske Investors, LLC provides international litigation research and organization focused on institutional investor objectives. ISAF interacts with investors, law firms, service providers and undertakes administrative tasks, including the collection of client trading data, loss calculations, loss certification, and most aspects of investor related litigation documentation. In addition, ISAF provides investors with transparent, cost effective contingency financing of all litigation costs.
- Battea Class Action Services – Battea Class Action Services, LLC, an international leader and expert in the class action securities processing and claims filing space, has been retained to securely collect, store and process client data and validate each investor’s loss calculations, to be included in the collective Group loss claims.
- U.S. Market Advisors Law Group PLLC – An American law firm that provides professional services to leading national and global law firms in matters involving financial markets trading, economic modeling, market structure understanding, research and transaction analysis.
Eligible investors who wish to participate in the Group litigation referenced above must proactively join the ISAF litigation Group prior to the filing of the complaint with the Danish Court. The writ of summons will be filed in the first quarter of 2019. Investors who experienced losses must contact ISAF so that eligibility can be verified and claims can be properly registered with the Court.