Investigation into GFG Alliance's bank flusters steel market

The turmoil surrounding a creditor of UK-based conglomerate GFG Alliance has raised concerns in the European steel market, Fastmarkets heard on Friday March 5.

On March 3, German financial watchdog Bundesanstalt für Finanzdienstleistungsaufsicht (BaFin) imposed a moratorium on Greensill Bank, which is the key funding facility for GFG Alliance, Fastmarkets heard.
In particular, BaFin has ordered Greensill Bank AG to be closed for business with customers, and has prohibited it from accepting payments that are not intended to repay debt to Greensill Bank AG, according to a press release on the BaFin website.
BaFin’s measures come into force immediately but are not yet final, it said.

“During a special forensic audit, BaFin found that Greensill Bank AG was unable to provide evidence of the...


Julia Bolotova

March 05, 2021

13:38 GMT