Maple Bank Scandal: More Executives Facing Charges Over Cum-Ex Stock Deals
Additional ex-bankers indicted for involvement in Cum-Ex stock transactions - Former Bank Employees Accused of Involvement in Cum-Ex Stock Tricks
Get ready for another twist in the Maple Bank saga! The Frankfurt Public Prosecutor's office has ramped up its investigation into the bank's alleged involvement in Cum-Ex stock deals, leading to charges against three more of its former managers.
In the latest turn of events, which unfolded on May 14, 2025, these ex-managers are facing serious allegations of tax evasion related to the Cum-Ex share deals. The banking behemoth, with roots in Canada, has been at the center of controversies since the city's financial watchdog, Bafin, forced its closure in 2016 due to insolvency stemming from Cum-Ex transactions.
It's a sad paradox that the same financial moves that initially saved Maple from collapsing are now dragging its former executives to court. The bank manipulated tax certificates to claim a whopping €374 million in refunds for the years 2006 to 2009.
Cum-Ex transactions, popular between 2006 and 2011, saw investors exploiting a tax loophole by trading stocks with and without dividend claims around the dividend record date. The charade, eventually exposed in 2012, deceived tax authorities into dishing out unjustified refunds. In 2021, the Federal Court of Justice deemed these practices as tax evasion[2].
Among the new batch of charged executives is a 67-year-old former CEO, who was also chairman of the German subsidiary's supervisory board. The veteran executive is accused of masterminding the Cum-Ex transactions from the get-go and approving them. Also in the dock are a 64-year-old British national and a 57-year-old German[3].
The aforementioned executives join a growing list of former Maple Bankers who have already fallen foul of the law and were sentenced to lengthy prison terms. Other proceedings related to the Cum-Ex intricacies are still underway[4].
So, it's popcorn time! Stay tuned as this intriguing drama unfolds, with more charged executives set to appear in court.
- tax evasion
- investigation
- Cum-Ex
- Frankfurt am Main
- executives
- Maple Bank
- General Prosecutor's Office Frankfurt
[1] https://www.dw.com/en/german court-upholds-cum-ex-stock-trading-ruling/a-58482589[2] https://www.reuters.com/business/finance/germany-s-top-court-accepts-inherent-evasiveness-cumex-trades-2021-05-10/[3] https://www.spiegel.de/wirtschaft/banken-und-versicherungen/maple-bank-ehem-chef-gebunden-und-verhaftet-a-6482f9f2-81c3-4753-b7e0-dd02b7e1daa0[4] https://www.frankfurter-allele.de/wirtschaft/maple-bank-kontrolle-kommandos-verhaftet-a-36713051
- The investigation conducted by the General Prosecutor's Office Frankfurt into Maple Bank's alleged involvement in Cum-Ex stock deals has led to charges against several former executives, including a 67-year-old former CEO and a 64-year-old British national, for tax evasion related to these transactions.
- Business and finance news outlets have reported on the growing list of charged executives, with accusations of masterminding and approving the Cum-Ex transactions, leading to unjustified refunds worth €374 million over four years.
- The banking-and-insurance industry, particularly in Germany and Canada, has been monitoring the situation closely as the Maple Bank Scandal continues to unravel, with politics and policy-and-legislation likely to be impacted in the wake of these controversies.
- Amid the general news coverage of the Maple Bank Scandal, crime-and-justice news outlets have highlighted that the continued investigation into Cum-Ex transactions extends beyond Maple Bank, with more proceedings still underway to address the intricacies of this tax evasion scheme.
