Wirecard files for bankruptcy - page 1

Wirecard is unable to pay. After the billion-dollar balance sheet scandal, the payment service provider applied to the Munich District Court to open insolvency proceedings. Wirecard announced this itself.

"The management board of Wirecard AG has decided to file an application for Wirecard AG with the competent district court in Munich to open insolvency proceedings due to impending insolvency and over-indebtedness," the statement said. Accordingly, it will also be checked whether bankruptcy applications for Wirecard subsidiaries must also be filed.

The Wirecard share was suspended from trading for 60 minutes.

The creditor banks had the right to cancel loans of over two billion euros if the company was unable to provide a certified balance sheet for the previous year by Friday last. However, EY's auditors refused to testify when it emerged that escrow account confirmations were obviously falsified.

In the balance sheet scandal of alleged air bookings in the amount of 1.9 billion euros, ex-chief Markus Braun is suspected as a suspected accomplice. That was why he resigned on Friday. He surrendered on Monday evening and was arrested. He was released on Tuesday for a deposit of five million euros. He had sold a large part of his shares in the company.