Bankruptcy proceedings

Euram Bank: 547 million euros in claims

Some creditors of Euram Bank must expect a total loss (symbolic image).(Bild: stock.adobe.com)

The creditors of the insolvent European American Investment Bank AG (Euram Bank) have so far registered claims amounting to almost 547 million euros. However, only a portion (354 million euros) has been recognized. The bankruptcy proceedings were already opened in December.

"The deposit guarantee scheme (ESA) and creditors of deposits up to 100,000 euros can expect full coverage. Creditors of deposits exceeding the amount of 100,000 euros will be at least partially satisfied. Unsecured creditors must expect a total loss," said insolvency expert Mazal. At Euram Bank, 345 million euros of claims relate to customer deposits.

Deposit protection comes first, said Jürgen Gebauer from KSV1870 (Kreditschutzverband von 1870). "Subsequently, savers with savings balances that are not covered by deposit protection are entitled to a pro rata payment. Only then will the other creditors follow. From today's perspective, it seems very likely that at least the claim of the deposit guarantee can be satisfied in full, whereas second-class deposit creditors may only receive a pro rata satisfaction".

Employees reduced from 50 to 29
Bankruptcy proceedings were opened for the assets of the insolvent bank in December 2024. In order to save on personnel costs, the number of employees was reduced from around 50 to 29. According to Mazal, further job cuts are to be expected.

Founded in 1999, the Vienna-based private bank was active in Europe, Russia, the Middle East and Central Asia. After the bank was already under observation by the Financial Market Authority (FMA) due to a lack of money laundering prevention, it was prohibited from continuing its business operations in mid-October 2024. At the beginning of December 2024, the Financial Market Authority (FMA) then filed for bankruptcy. This initiated withdrawal proceedings.