Wirecard Says $ 2.1 Billion Likely Did Not Exist | Zoom Fintech

Wirecard AG, the Munich, Germany-based fee processor, admitted on Monday that the € 1.9 billion ($ 2.1 billion) shortfall in its accounts in the Philippines may never have existed , Reuters reported. de Wirecard assesses on the basis of further examination that there is a predominant probability that bank trust account balances in the amount of € 1.9 billion do not exist, ”the company said in a statement. Press release. As a result, the German funds agency has said it will withdraw its monetary results for 2019 and the first quarter of 2020. Additionally, Wirecard said it will consider price cuts, restructuring and ending some divisions of the company, according to the report. Monday’s recognition ends weeks of uncertainty. Fintech Zoom has chronicled the controversy. Ernst & Younger, the company’s auditor, said it was becoming suspicious of letters confirming the existence of accounts and the amounts held at the two banks. “It is highly likely that the trust bank account balances in the amount of 1.9 billion euros do not exist,” Wirecard said at the time. Last week, Wirecard founder and CEO Markus Braun stepped down sooner or later. after the audit group revealed that the money was missing from the accounts of the German commission processor. In a press release, the company said Braun “resigned today with immediate effect” and said the choice was made “by mutual agreement with the supervisory board.” (June 21) Wirecard’s statement of directing the money to BDO Unibank Inc. and the Bank of the Philippine Islands has been challenged by the central bank of the Philippines. The Bangko Sentral ng Pilipinas said the money never entered the country. The regulator concluded that the documents indicating that Wirecard had deposited the funds were fake. “The international financial scandal has used the names of two of the country’s largest banks, BDO Unibank Inc. and the Bank of the Philippine Islands, in an attempt to cover the trail of perpetrators,” said central bank governor Benjamin Diokno in a press release. All lenders have told the central bank that Wirecard is not a buyer and in no way dealing with them, the news service reported. The governor’s claim is the latest setback for Wirecard, which executives were hoping on Friday that it might be possible to get the money back. ——————————
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