- BenutzernameAP
- Status Member
- Registriert seit11/7/18
- Beiträge1
II would like to share our experience with LGT bank. We’ve being its clients for a long time. But the way their management acted recently forced us to warn others and to write this review.
The commercial papers of AGROKOR with maturity date in August 2017, owned by our Company, were deposited on our account in LGT Bank.
In November 2017 we’ve checked the bank statements and saw the AGROKOR commercial papers in it with amount of zero. It looked strange for us as it should not appear in our statement because the maturity date was indicated as August 2017. We thought that this is an error and ask about it our relationship manager. In response to our question to LGT Bank we were informed that AGROKOR commercial papers are in default.
After that we made a research and found out that on April 10th, 2017 The Zagreb Commercial Court issued a Decision to initiate the procedure for extraordinary administration over AGROKOR.
At the same time according to the email of our relationship manager on the abovementioned situation the Bank received the information from the custodian that the redemption price was amended from 100 pct to zero on August 21, 2017. We believe that acting responsibly the Bank should have informed us on the situation the same day. But LGT Bank didn’t undertake any attempts to be prompt in informing its client about the default.
AGROKOR put tight deadlines to its creditors for reporting their claims (about 2 months), that we unfortunately missed. We believe that not receiving the information about the situation with AGROKOR and about its commercial papers default on time leaded us to huge losses.
In response to our official claim LGT Bank just said that its not their responsibility to inform the clients about material events concerning securities (even deposited in LGT Bank) unless the securities are under banks’ management.
With this story we would like to draw attention of invertors to bank policy: they are informing clients about everything and you feel like bankers keep an eye out for you investment portfolio, but failure to inform on one (very important) event is not their mistake.
Always remember that all risks are on you and bank will receive its commission no matter what.