Prosecutors investigate Deutsche Bank for Italian debt sale

MILAN – Italian prosecutors are investigating top former Deutsche Bank management on suspicion of market manipulation related to the sale of 7 billion euros of Italian government bonds in 2011.

News agency ANSA reported Friday that financial police have taken depositions and seized documents in Deutsche Bank’s Italian headquarters in Milan in recent days.

Deutsche Bank, based in Frankfurt, Germany, said it is co-operating with authorities and that it responded to a related inquiry by market regulator Consob in 2011.

Prosecutors in the southern seaport of Trani are investigating five former managers, including former CEOs Josef Ackermann and Anshu Jain and current co-CEO Juergen Fitschen, for allegedly manipulating the market by saying publicly that Italy’s debt was sustainable while hiding plans to dispose of most of the bank’s 8-billion-euro Italian debt load.