Praise is premature

Deutsche Bank received a lot of praise after its turnaround. But bonuses, cum-ex and money laundering controls are still casting a shadow over the successful restructuring.

The headquarters of Deutsche Bank

Dhe board of directors of Deutsche Bank earned a lot of respect and trust with the first profit after five years of losses in the Corona year of all things. One shareholder even said at the virtual general meeting that he had long been proud to be a co-owner of Deutsche Bank. In view of the many legal violations in the past, so much praise is unusual and a bit premature.

Because the money laundering controls of the bank continue to work more badly than right, as the banking supervisory authority has just criticized again. At the general meeting there was also talk of an incumbent bank manager being investigated in the Cum-Ex complex. And the cultural change in investment banking that was announced by the former co-chairman Anshu Jain almost ten years ago is still pending in parts.

There is hardly any other explanation for the fact that Deutsche Bank has 684 income millionaires among its employees thanks to lavishly sparkling bonuses – much more than its European competitors. For 2020, Deutsche Bank paid around 1.9 billion euros in bonuses, almost 30 percent more than in 2019. To describe these bonuses as necessary, correct and in line with the market, as the board of directors and supervisory board do, is highly vulnerable as long as Deutsche Bank is unable to pay a dividend to shareholders.