DBS HK willing to compensate Lehman minibond holders in full
-
Total news blackout by the Singapore media.
I suggest that those investors in Singapore who cannot get their investments back from DBS to tighten their belts... around the necks of those responsible...and spend wisely from now on
-
Guess what is distinct between Sg and HK ?
Free...do..m... of ....
-
At least in Singapore, when angmo ask me, I can say I live in a democratic republic. Not so for u HKers
-
Originally posted by whiskers:
At least in Singapore, when angmo ask me, I can say I live in a democratic republic. Not so for u HKers
Hanor, we are so proud that the sg government raises GST to help the poor.
What has HK done to help her poor?
-
SINGAPORE, Oct 22 - DBS Group <DBSM.SI>, Singapore's biggest bank, said it will compensate as much as S$80 million to some investors who bought structured products linked to collapsed bank Lehman Brothers.
Separately, Hong Leong Finance <HLSF.SI>, a small lender, also said it will buy back Lehman-linked mini-bonds from elderly and less-educated customers, while Malaysian lender Maybank <MBBM.KL> said it has identified mini-bond investors for compensation.
The move came after hundreds of investors staged protest rallies in Singapore and the Monetary Authority of Singapore, the central bank, launched a probe against alleged mis-selling of these risky products by banks.
About 9,700 people in Singapore, many of them retirees, stand to lose most or all of their money after they bought Lehman-linked structured products from banks and other financial institutions.
DBS, Singapore's biggest bank by assets, said in a late night statement that it agrees with the central bank on the need to give priority to "vulnerable" customers and is fast-tracking such cases.
DBS sold S$360 million worth of structured products linked to Lehman to 4700 investors in Hong Kong and Singapore and will announce a final decision next week about the fate of other investors, it said.
The Singapore banks' decision follows a deal reached in Hong Kong last week whereby the territory's banks will buy back Lehman-linked structured products from holders at market value, as proposed by the government there. [ID:nHKG311649]
Many affected Singapore and Hong Kong investors claimed they were told the investments were relatively safe and that they had been asked to buy the products when they went to renew their fixed deposits.
DBS said when these products were sold 18 months ago the financial landscape was different.
"Nobody could have imagined the extent of the fallout from the US subprime crisis, or the collapse of a venerable 158-year-old financial institution like Lehman."
Shares of DBS fell 8.2 percent on Wednesday, underperforming the 5.2 percent decline in the benchmark Singapore index <.FTSTI> after a JPMorgan report said Lehman-linked products issue could hit 2008 earnings by 8-10 percent.
$360 million becomes $80 million.
I hope Singapore's market only $80 million.
-
that why i already say weeks ago, stay away from DBS stocks.
they are paying 70-80million dollars compensation. i am not sure how much is gona pay for the HK operation.
By the way, HK is more democratic than singapore. just read their papers is are too naive too know.
HK has no GST. ERP.
Heil Hitler!!
-
Originally posted by reyes:
that why i already say weeks ago, stay away from DBS stocks.
they are paying 70-80million dollars compensation. i am not sure how much is gona pay for the HK operation.
By the way, HK is more democratic than singapore. just read their papers is are too naive too know.
HK has no GST. ERP.
Heil Hitler!!
Hike Fuhrer,Hongkong also go no PAP.
-
Hike Fuhrer,
Hongkong also go no PAP.
a blessing?
-
Surprisingly Low advises affected investors not to file class action suits against bank. No doubt it's costly, but if you win the cost is recoverable to a certain extent. If I were the investors I would have to base my legal actions on the merits of my case and the payout that DBS is willing to compensate me.
Investors will fork out large bills if they lose the case, since it's a class action the cost will be distributed amongst all the investors, provided they lose the case.
But as with most investment contracts such as these, where the terms are complicated and not understood by laymen, there could be grounds for misrepresentation.
Low Thia Khiang urges affected investors not to file class action suits against banks
By Hwee Goh, Channel NewsAsia | Posted: 22 October 2008 1448 hrsSINGAPORE: Opposition Member of Parliament Low Thia Khiang has urged investors who have lost money on Lehman bonds not to file class action suits against the financial institutions.
In a statement to the media on Wednesday, the Hougang MP said he is concerned that such investors may end up paying huge legal bills.
He feels investors should only resort to legal redress after they have taken their cases to the Financial Industry Disputes Resolution Centre, and despite that, are still unhappy.
The Monetary Authority of Singapore (MAS) has advised investors to file a complaint with the financial institutions involved, and then with the Centre.
Mr Low has asked the MAS to issue detailed guidelines to financial institutions on how to handle the complaints, with a set time frame for the whole process.
He hopes that affected investors will then have greater certainty as they weigh their options.
- CNA/yb