Deutsche Bank Tumbles as DoJ Claim of $14 Billion Rebuffed
- Negotiations are ‘just beginning,’ lender says in statement
- The bank’s shares, bonds drop most since U.K. voted to exit EU
Deutsche Bank Faces Tough Road Ahead Over Mortgage Claim
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Deutsche Bank AG’s shares and its riskiest bonds dropped the most since the Brexit vote after the lender said the U.S. Justice Department is seeking $14 billion to settle a probe tied to mortgage-backed securities, more money than the bank is willing to pay.
“Deutsche Bank has no intent to settle these potential civil claims anywhere near the number cited,” the company said in a statement early Friday in Frankfurt. “The negotiations are only just beginning. The bank expects that they will lead to an outcome similar to those of peer banks which have settled at materially lower amounts.”