The head of Goldman Sachs (GS) Group Inc.’s operations in Germany and the country’s second-highest ranking bank regulator will testify at the trial of former managers of Sal. Oppenheim Jr. & Cie this month.
Goldman Sachs’s Alexander Dibelius will give evidence on Feb. 12 at the tribunal in Cologne where the case is being heard, according to the court’s witness list. Frauke Menke, the head of banking supervision at Bafin, is scheduled to testify Feb. 20, the same day as Thomas Middelhoff, the former chief executive officer of Bertelsmann AG.
The former Sal. Oppenheim managers are charged with breach of trust over bad investments, including property deals prosecutors say resulted in about 150 million euros ($204 million) of losses. The court is also reviewing loans to Arcandor AG (ARO), a German retailer which went bankrupt in 2009, in the trial, which began last year.
Ben Fisher, a spokesman for Bafin, said he didn’t know what Menke’s testimony would be about. A spokesman for the Cologne court, Achim Hengstenberg, said he couldn’t comment on the subject of the testimony. The court is reviewing allegations over the Arcandor investment at the moment, he said.
Sal. Oppenheim put itself up for sale after reporting a 2008 loss of 117 million euros, its first yearly loss since World War II, from investments in real estate and companies. Deutsche Bank AG bought the family-run lender, founded in 1789, for its wealth-management operations.
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