Xinhua Silk Road - Belt and Road Portal, China's silk road economic belt and 21st Century Maritime Silk Road Website Xinhua Silk Road - Belt and Road Portal, China's silk road economic belt and 21st Century Maritime Silk Road Website
Subscribe CustomBlackClose

Belt & Road Weekly Subscription Form

download_pop

Research ReportCustomBlackClose

The full edition of the report is available at Xinhua Silk Road Database. You can click the “Table of Content” to have a general understanding of it.

Click on the button below to create your account and get immediate access to thousands of articles.

Start a Free Trial

Xinhua Silk Road Database
dpa

HOME > dpa

German ministries agree on stricter rules after Wirecard debacle

October 14, 2020


Abstract : German ministries have agreed on stricter regulations for financial markets and private companies, following a scandal involving the now-insolvent Wirecard company and its dubious accounting practices.

German ministries agree on stricter rules after Wirecard debacle. (picture alliance/dpa)

German ministries have agreed on stricter regulations for financial markets and private companies, following a scandal involving the now-insolvent Wirecard company and its dubious accounting practices.

An action plan seen by dpa on Wednesday foresees greater oversight powers for German financial regulator Bafin to combat balance-sheet fraud more effectively.

The government body is to be granted the right to audit all capital market-oriented companies. Currently, it can only carry out special audits of financial institutions - as was the case with the Wirecard Bank AG subsidiary.

The state is also to keep a closer eye on companies with complex international structures, like Wirecard, and auditors at capital-market companies are to change every 10 years under the tougher rules.

Wirecard, a digital payment services provider once listed on the DAX, admitted in June that 1.9 billion euros (2.2 billion dollars) noted in its accounts were likely non-existent, in one of the biggest financial scandals in Germany in recent years.

Public prosecutors in Munich believe that Wirecard had been cooking the books since 2015 and that more than 3 billion euros could be lost.

Bafin and private auditors have both come in for criticism, while Chancellor Angela Merkel and other government ministers have faced questions on how much they knew about the alleged fraud.

Finance Minister Olaf Scholz and Justice Minister Christine Lambrecht are to present the ministries' plan later on Wednesday, the day before a parliamentary inquiry is set to begin into the Wirecard scandal.

Notice: No person, organization and/or company shall disseminate or broadcast the above article on Xinhua Silk Road website without prior permission by Xinhua Silk Road.

Scan the QR code and push it to your mobile phone

Keyword: German Wirecard

Reading:

China Focus: Global automakers call for open, intensive cooperation on NEVs

Volkswagen to invest 15 bln euros in e-mobility with Chinese partners

China Focus: Decade on, Sino-German NEV cooperation bears fruits, shares broad prospects

Global NEV market share hits record high: report

2020 World New Energy Vehicle Congress starts in Hainan

Write to Us belt & road login close

Do you want to be a contributor to Xinhua Silk Road and tell us your Belt & Road story? Send your articles to [email protected] and share your stories with more people.

Click on the button below to create your account and get im http://img.silkroad.news.cn/templates/silkroad/en2017te access to thousands of articles.

Start a Free Trial

Ask Us A Question belt & road login close

If you have any questions, please enter them in the box below.

Identifying code Reload

Write to Us belt & road login close

Do you want to be a contributor to Xinhua Silk Road and tell us your Belt & Road story? Send your articles to silkroadweekly@xinhua.org and share your stories with more people.

Click on the button below to create your account and get im http://img.silkroad.news.cn/templates/silkroad/en2017te access to thousands of articles.

Start a Free Trial