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One of Special Prosecutor’s Biggest Cases Opens

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One of Special Prosecutor’s Biggest Cases Opens

Money - Icelandic Króna

Photo: Páll Kjartansson

One of the biggest cases in which the Office of the Special Prosecutor in Iceland has filed charges, the result of extensive investigations of banking affairs following the economic crisis in 2008, opened in Reykjavík District Court on Wednesday.

Former CEO of Landsbanki Sigurjón Árnason and three of his subordinates are facing charges of market manipulation by controlling the value of shares in the Icelandic Stock Exchange in an organized manner for almost one year, thus preventing the bank’s shares from depreciating, ruv.is reports.

All four men maintain their innocence.

The trial is described as extensive and complicated, including a specially-made stock exchange simulator showing graphs of trade in the stock exchange on any given day. During questioning, Sigurjón stated that he didn’t understand the simulator.

According to ruv.is, the trial will continue for two weeks.

The current trial concerns the second part of the Special Prosecutor’s charge against Landsbanki for market manipulation.

This past summer Sigurjón and Elín Sigfúsdóttir, who used to serve as manager of the bank’s company division, were acquitted in the part of the charge of market manipulation in trade outside the stock exchange.

In the same case, Steinþór Gunnarsson, former manager of Landsbanki’s securities brokerage, was given a nine-month sentence, of which three were suspended.

Both the State Prosecutor and Steinþór appealed the case to the Supreme Court.

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