Ontario court grants windup order for Canadian branch of Maple Bank

OTTAWA – Banking regulators say the Ontario Superior Court of Justice has granted a windup order for the Canadian branch of Maple Bank GmbH and appointed KPMG as liquidator.

The court action follows a Feb. 15 request by the Office of the Superintendent of Financial Institutions for the windup to the Attorney General.

At the time, the federal banking regulator said it was taking permanent control of the assets of the German-based bank.

OSFI had earlier announced it was taking temporarily taking control of the branch’s assets after a German regulator suspended the lender’s activities following probes into certain trading activities in the 2006-2010 taxation years.

The German regulator subsequently appointed an insolvency administrator.

Maple Bank’s main business at its Toronto branch was securitization, securities financing and structured secured wholesale lending.

Its deposits are not covered by Canada Deposit Insurance Corp.

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