Professional ban of 18 months for former bank director

5 November 2018
Verdicts Disciplinary Committee
Professional ban

The former director of a local bank branch arranged a separation package for himself and transferred a sum of €1,5 million to a foundation without the bank's consent.

The defendant and the bank had negotiated a termination of his contract in 2005  by way of a settlement, but the bank never agreed to it. Since then, the defendant and the chairman of the supervisory board of the local branch had continued negotiations in order to come to an alternative agreement.

A foundation separate from the bank was set up, of which the defendant was the sole member of the board. Then a sum of €1,5 million was transferred to the foundation. The bank discovered the transaction and the money was transferred back, after which a complaint was filed against the defendant by the bank.

The Disciplinary Commission judged that the alternative agreement between defendant and the chairman of the supervisory board was materially not different from the settlement agreement the bank had declined.

It ruled the trangression a serious breach of the Banker's Oath and  therefore sanctioned the bank's employee a professional ban of 18 months. The name of the employee will be added to the Foundation for Banking Ethics Enforcement's registry, viewable only to banks associated with the foundation, once the verdict has become irrevocable.