Germany’s financial watchdog, BaFin, criticized Deutsche Bank’s 2019 financial report, because it did not meet international accounting standards, such as failing to disclose key details about the lender’s historic U.S. losses. According to BaFin, the bank failed to disclose €2.1 billion in deferred tax assets related to multiyear losses at its U.S. operations. The Bank also failed to disclose how it expected to generate future profits in the region, which is required under International Financial Reporting Standards (IFRS) rules. Deutsche hoped to offset the historic losses against future profits in the region. According to Deutsche Bank, BaFin’s finding “related to a footnote in our 2019 financial statements” and there was “no suggestion on BaFin’s part that there is any inaccuracy in Deutsche Bank’s 2019 accounts, and no restatement or other action is required.”
https://www.ft.com/content/0dec1baf-6a44-4bc0-9293-355e29f5256c
Deutsche Bank Flouted International Accounting Rules
