Austria: Insolvency of Hypo Group Still an Option

People ♦ Published: December 4, 2013; 12:11 ♦ (Vindobona)

Both the center of government and the Austrian National Bank (OeNB) reject Hypo Group’s bankruptcy. However, insolvency options are currently being assessed by the Finance Ministry and the Federal Law Office.

Austria: Insolvency of Hypo Group Still an Option / Picture: © Wikipedia / JJ55 (30 March 2008)

On Tuesday both Chancellor Werner Faymann and his deputy Michael Spindelegger ruled out an insolvency of ailing bank Hypo Group Alpe Adria. Chancellor Faymann referred to incalculable economic and political consequential effects.

The bank’s insolvency does not seem like a bad idea to some authorities. The main aim, however, is to make Hypo Group’s former parent company…