ABN AMRO Group NV said it has offered more than €250 million in compensation to small-business clients who were improperly sold interest rate derivatives.
The Dutch bank said it had made offers to about 6,200 clients, with three-quarters having been accepted and 44 clients receiving their compensation proposal. The banking group aims to provide clarity to all clients being handled by its financial restructuring and recovery team by the end of the second quarter of 2018, and to all other clients by end-2018.
The 6,200 clients being handled within a uniform recovery framework represent the bulk of the roughly 7,000 affected customers. The €250 million is half the amount set aside by the group to compensate for derivatives sold between April 1, 2011, and April 1, 2014, which were found to have been offered without sufficient information, including on potential adverse effects.
Four other Dutch banks and the local unit of Deutsche Bank are also taking part in the recovery framework.
