Deutsche Bank Executive Resigns over Greenwashing Allegations

Wednesday, 01/06/2022 | 23:42 GMT by Felipe Erazo
  • German authorities recently raided the offices of DWS, a Deutsche Bank subsidiary.
  • Stefan Hoops will replace Asoka Woehrmann in the role of CEO.
Deutsche Bank Securities

DWS, a Deutsche Bank subsidiary, commented on Wednesday that Asoka Woehrmann, its Chief Executive Officer, has resigned hours after authorities raided its offices. According to the Associated Press, via Business Today, there are allegations about the group engaging in ‘greenwashing’ by exaggerating the sustainable credentials of certain funds it had sold.

“At the same time, the allegations made against DWS and myself in past months have become a burden for the company, as well as for my family and me. In order to protect the institution and those closest to me, I would like to clear the way for a fresh start,” Woehrmann commented.

According to prosecutors, initial investigations indicated that environmental, social and governance criteria were not taken into account in most of the funds featured in the company’s sales brochures.

On Tuesday, Deutsche Bank said prosecutors’ actions were aimed at pursuing “unknown individuals in connection with greenwashing allegations against DWS.”

“The allegations are that DWS has been advertising so-called ESG financial products for sale as being particularly green and sustainable when they actually weren’t. In the course of our investigations we’ve found evidence that could support allegations of prospectus fraud,” a spokesman for the public prosecutor said.

Woehrmann's Replacement

Stefan Hoops, the head of the corporate bank at Deutsche Bank and DWS's largest shareholder, will replace Woehrmann, whose resignation takes effect on 9 June.

In other news, last month, FinLync, a fintech platform, confirmed that Deutsche Bank had formed a partnership. Corporations will have access to real-time treasury information thanks to the collaboration. By developing efficient APIs for banks, the bank aims to boost innovation in the financial services sector. Deutsche Bank and FinLync plan to expand the range of pre-integrated APIs with the German bank.

A recent survey conducted by Deutsche Bank and the Association of Corporate Treasurers highlighted the growing popularity of APIs among treasurers.

DWS, a Deutsche Bank subsidiary, commented on Wednesday that Asoka Woehrmann, its Chief Executive Officer, has resigned hours after authorities raided its offices. According to the Associated Press, via Business Today, there are allegations about the group engaging in ‘greenwashing’ by exaggerating the sustainable credentials of certain funds it had sold.

“At the same time, the allegations made against DWS and myself in past months have become a burden for the company, as well as for my family and me. In order to protect the institution and those closest to me, I would like to clear the way for a fresh start,” Woehrmann commented.

According to prosecutors, initial investigations indicated that environmental, social and governance criteria were not taken into account in most of the funds featured in the company’s sales brochures.

On Tuesday, Deutsche Bank said prosecutors’ actions were aimed at pursuing “unknown individuals in connection with greenwashing allegations against DWS.”

“The allegations are that DWS has been advertising so-called ESG financial products for sale as being particularly green and sustainable when they actually weren’t. In the course of our investigations we’ve found evidence that could support allegations of prospectus fraud,” a spokesman for the public prosecutor said.

Woehrmann's Replacement

Stefan Hoops, the head of the corporate bank at Deutsche Bank and DWS's largest shareholder, will replace Woehrmann, whose resignation takes effect on 9 June.

In other news, last month, FinLync, a fintech platform, confirmed that Deutsche Bank had formed a partnership. Corporations will have access to real-time treasury information thanks to the collaboration. By developing efficient APIs for banks, the bank aims to boost innovation in the financial services sector. Deutsche Bank and FinLync plan to expand the range of pre-integrated APIs with the German bank.

A recent survey conducted by Deutsche Bank and the Association of Corporate Treasurers highlighted the growing popularity of APIs among treasurers.

About the Author: Felipe Erazo
Felipe Erazo
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About the Author: Felipe Erazo
Felipe earned a degree in journalism at the University of Chile with the highest honour in the overall ranking, and he also holds a Bachelor of Arts in Social Communication. In addition, he has been working as a freelance writer and Forex/crypto analyst, with experience gained from several forex broker firms and crypto-related media outlets around the world. He has been involved in the world of online forex trading since 2010 and in the crypto sphere since 2015.
  • 1036 Articles
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