MPs to debate DSB collapse with minister

Thursday 15 October 2009

Finance minister Wouter Bos has been called to explain to MPs how DSB bank got into such financial difficulties, Trouw reports on Thursday.

In particular, MPs want clarification about the role of the regulators - the central bank and financial services authority AFM. The debate will take place later on Thursday.

DSB was only awarded a full banking licence four years ago.

Bos has already announced a formal inquiry into the way the central bank and AFM reacted to events at the independent bank. No-one will be spared in that inquiry, Bos said earlier.

MPs also want assurances that no finance ministry civil servants were involved in leaking information about the precarious state of the bank at the weekend.

DSB's owner Dirk Scheringa says leaks to two national newspapers brought about the bank's demise. The Volkskrant and Financieele Dagblad published reports of its financial troubles on Monday morning.

The courts had already refused to put the bank into administration on Sunday evening, but a new surge in withdrawals overnight depleted the banks reserves still further, forcing the court to change its mind.

© DutchNews.nl

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