Australia withdraws cartel case against Deutsche, Citigroup

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After nearly four years of pre-trial hearings Australian federal prosecutors pulled the case as there were no reasonable prospects of conviction

After nearly four years of pretrial hearings Australian federal prosecutors pulled the case as there were no reasonable prospects of conviction Australia on Friday withdrew a cartel lawsuit against Citigroup , Deutsche Bank and several former executives over a $1.8bn share issue, a stunning retreat from what would have been the country’s biggest white-collar criminal trial.

The move brings to an end a potentially far-reaching challenge to the way investment banks conduct capital raisings as joint lead managers and removes the threat of jail time for the former senior staff of some of the world’s biggest investment banks. Michael Richardson, Deutsche’s Australian head of equity capital markets from 2008 to 2017 and one of the individual defendants in the case, said he welcomed the decision but added: “I will never get back the last four years of my life.”

 

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