Four German banks have filed lawsuits against the nation’s financial watchdog, BaFin, seeking the return of their contributions to a €2.3 billion restructuring fund established during the 2008 financial crisis, Bloomberg reports.
The lawsuits, filed at the Frankfurt Administrative Court, allege that BaFin failed to act on the banks’ requests for refunds. The names of the banks involved were not disclosed.
The banks argue that the restructuring fund is no longer needed since the European Union has implemented a bloc-wide solution. About 400 lenders have requested that BaFin return the funds, but the government intends to transfer them to its Financial Market Stabilisation Fund (SoFFin).
A BaFin spokesman expressed surprise at the lawsuits, stating that the regulator has been engaged in extensive discussions with the banks. He acknowledged that the complaints raise complex legal issues that require careful examination.
The lawsuits are part of a dispute between the German finance industry and the government over the fate of the restructuring fund. Börse-Zeitung reported on the lawsuits earlier.
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