Kaupthing bank boss custody upheld by Supreme Court

olafur-thor-littleThe Supreme Court of Iceland yesterday evening upheld the decision of the Reykjavik District Court to remand former Kaupthing bosses Hreidar Mar Sigurdsson and Magnus Gudmundsson in custody.

The Reykjavik District Court Friday granted the Special Prosecutor’s wish to hold Sigurdsson for 12 days and Gudmundsson for a week and both decided to appeal to the Supreme Court.

DV reports that the Special Prosecutor requested that the District Court not publish details of the hearing on its website, as it usual, because their disclosure could damage the ongoing case against the two men.

Six middle managers and other employees of Old Kaupthing have been interviewed by the Special Prosecutor since Friday. The reason the two men are being held at this stage is to remove them from the conversation and ensure they cannot influence the case.

More people have been invited to interview in Reykjavik, including two from Luxembourg. Sigurdsson and Gudmundsson both face lengthy prison sentences if found guilty of fraud, embezzlement and market manipulation.

Comments are closed.