The Seoul Central District Court has ordered Deutsche Bank to pay KRW8.55m ($7.28m) to six plaintiffs who invested in local equity-linked securities (ELS) products in 2007. The plaintiffs invested in Korea Investment & Securities' ELS products based on the shares of KB Kookmin Bank and Samsung. Deutsche Bank (contracted by Korea Investment to hedge the products), decreased KB Kookmin's prices by offloading its shares when the market closed on August 2009 in the expiry day. The plaintiffs claimed they suffered a loss of around 25% from their investment.
The Seoul Central District Court has ordered Deutsche Bank to pay KRW8.55m ($7.28m) to six plaintiffs who invested in local equity-linked securities (ELS) products in 2007. The plaintiffs invested in Korea Investment & Securities' ELS products based on the shares of KB Kookmin Bank and Samsung. Deutsche Bank (contracted by Korea Investment to hedge the products), decreased KB Kookmin's prices by offloading its shares when the market closed on the expiry day in August 2009. The plaintiffs claimed they suffered a loss of around 25% from their investment.