Professor of Law Writes Legal Opinion For Wirecard Insolvency Proceedings

Professor Georg Bitter of the University of Mannheim, an expert in insolvency law, wrote a legal opinion for the Wirecard AG insolvency proceedings. According to Bitter, shareholders, investors and banks must be treated equally when it comes to claims for damages.

Professor Georg Bitter is one of the leading experts for legal questions related to banking law, capital market law and insolvency law in Germany. Professor Bitter was commissioned, inter alia, by TILP Rechtsanwaltsgesellschaft to write the expert opinion on Wirecard. TILP represents the Wirecard investors who filed more than 10,000 claims. Bitter comes to the conclusion that claims arising from losses resulting from shares and derivatives should be treated like claims of other creditors, such as banks lending money to Wirecard, meaning that the claims for damages filed by Wirecard investors may be successful.

The review hearing (“Prüfungstermin”) is scheduled to take place at the local court in Munich on 15 April 2021. Cases in which investments were made before 18 June 2020 are promising. On this date, Wirecard issued an ad hoc notification revealing the fraud and reporting that 1.9 billion euros were missing from its accounts.

Original publication: Georg Bitter/Marcel Jochum. Kein Nachrang kapitalmarktrechtlicher Schadensersatzansprüche in der Insolvenz des Emittenten. Zeitschrift für Wirtschaftsrecht (ZIP), 2 April 2021, p. 653.

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