BaFin had previously filed an insolvency petition against Greensill, and the insolvency court in Bremen opened insolvency proceedings on 16 March 2021. It appointed an insolvency administrator who is now responsible for managing Greensill’s affairs.
Greensill is a member of the German Deposit Protection Fund of the Association of German Banks (the Fund). The Fund safeguards the deposits of customers of private commercial banks up to a certain percentage of the liable capital of the bank as of the date of the last published annual financial statements.
The guaranteed amount in this case would be approximately €74 million per Greensill customer.
The Fund does not cover certain liabilities, including the following:
- Liabilities for which Greensill has issued bonds payable to the bearer
- Liabilities arising from securities repurchase transactions (also known as “repos”), as well as redelivery obligations arising from securities lending business