EuropeFinance and Insurance

Bank of Valletta seeks €50m out-of-court settlement with out-of-pocket Deiulemar bondholders

Malta’s Bank of Valletta has offered a €50m ($59m) out-of-court settlement to Italian bondholders of defunct Deiulemar, in return to drop a long-standing claim against the bank for €363m.

The offer also comes two years after the bank appealed an Italian court’s order for a precautionary warrant that requested it to keep €363m as a provision for damages requested by bondholders.

Deiulemar was a high profile Italian shipping bankruptcy eight years ago, which involved huge fraud and jail sentences for a number of the members of the founding families of the line. The Maltese bank at the time of the bankruptcy held a trust with €363m of Deiulemar assets.

Sam Chambers

Starting out with the Informa Group in 2000 in Hong Kong, Sam Chambers became editor of Maritime Asia magazine as well as East Asia Editor for the world’s oldest newspaper, Lloyd’s List. In 2005 he pursued a freelance career and wrote for a variety of titles including taking on the role of Asia Editor at Seatrade magazine and China correspondent for Supply Chain Asia. His work has also appeared in The Economist, The New York Times, The Sunday Times and The International Herald Tribune.
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