Hellenic Bank’s CEO suspended

Hellenic Bank Chief Executive Officer Oliver Gatzke has been placed on administrative leave while the validity of specific allegations regarding the inducement of the Cypriot lender’s employees into purchasing bank stock is investigated.

Gatzke’s statements and alleged actions are the subjects of an internal investigation, and Hellenic’s board of directors has determined it is appropriate for him to step down until those investigations are finished.

Kathimerini Cyprus understands the CEO’s absence is due to allegations made by Demetra Investment CEO Nearchos Ioannou at Hellenic Bank’s 48th annual general meeting. Ioannou had noted that he was on the receiving end of allegations that a senior executive of Hellenic Bank had encouraged staff to buy shares in Hellenic Bank on the grounds that the stock was undervalued. “These are unacceptable things, they cannot be done, and it is not within the authority of the senior executive to urge any employee to buy shares,” he said during his speech.

The CEO of Hellenic Bank’s largest shareholder, Demetra Investment, said he was finally “getting the full picture” regarding the company’s CEO with this complaint.