Biggest bank in the country mistakenly transfers $34 billion to customer

Biggest bank in the country mistakenly transfers $34 billion to customer

A bank has erroneously transferred $34 billion to a customer in a routine operation, more than the entire bank is worth.

The Deutsche Bank in Germany which is considered to be the biggest bank in Germany on Friday admitted the error.

The unprecedented mistake happened on March 16 when Deutsche Bank carried out a transfer to an account at Deutsche Boerse’s Eurex clearing house, a spokesman told AFP.

The operation was meant to involve a far smaller sum, which the bank has not revealed, and highlights IT and control issues at the banking giant.

Accounting errors happen most days, but the sum involved in this case is highly unusual and even exceeds Deutsche’s market capitalisation of 24 billion euros.

The incident, which came shortly before John Cryan was ousted as chief executive, was quickly fixed and no harm was done, the institution said.

But it raises questions about the risk management and control processes within the bank, which Cryan was meant to have greatly improved since his arrival in 2016.

Given sole command of the lender in 2016 after the departure of co-CEO Juergen Fitschen, Cryan’s task was to restructure Deutsche and clean up the toxic legacy of its pre-financial crisis bid to compete with global investment banking giants.

But Deutsche Bank has yet to return to profitability, while the share price has slumped more than 50 percent in the past two years — around 30 percent this year alone.

In a sign of the bank’s ongoing internal tussles, Deutsche on Wednesday announced the departure of its IT and infrastructure chief Kim Hammonds, who had reportedly called the bank the “most dysfunctional company” that she had worked for.

Erroneous transfer of funds from banks to their customers in not uncommon, but this seems to be a very grievous mistake.

Reports have surfaced on transfers of this nature in many African countries, but at the end of the day, the banks mostly suffer as it is either the customer has squandered the entire funds or will be no where to be found when they realise their mistake

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Rant 0084

I think sanity comes in when you know what you're doing. You know what you're doing is bad yet you keep doing it.

You know what you're doing is dangerous yet you keep doing it. It's not like you do not know, you're telling yourself it's okay, it's fine yet it's evil but you keep doing it.

I think sanity isn't all about doing the good things, doing the things set for you to do. Sanity is also applied when you break bonds. You know the rules before breaking the bonds.

I think sanity comes in when you know the essence and gravity of what you're doing.

When you do something bad. Not that you console yourself to fit yourself into the shoe to pretend that it is good, you know it's bad.

When you do something good. You know that you've got solace in it. You did it with your sense, your complete sense; in its whole completeness. You're sane.

Even bad things done with the complete and sane sense can be justified in the sense that you were conscious of all you (are) do(ing).

See, if you do things with your total sense. You know the right from the left and you know the left from the right. You've weighed the consequences and the right part. You know it all. Yet you're doing it. If they tell you you're not alright, it's all bla bla bla.

Although, there are some bad things you will do that will paint you mad, insane and really really stupid. It all depends on you. Your people and the wah you present yourself.

12/04/2018
"words from the innocent mind"
Akinwale Peace Akindayo
Philip Peace

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