Fortuna Banque, which ceased providing banking services last year, has been formally told to wind up operations.

The cooperative bank had failed to find a buyer or a backer to inject fresh capital and said in August 2022 that it would .

Since then, the bank’s “balance sheet total has been reduced by more than 85%,” the Luxembourg Financial Sector Supervisory Commission (CSSF) on 12 October 2023.

“Today, the operational processes put in place by Fortuna Banque s.c. no longer make it possible to ensure the temporal adequacy between cash inflows--linked to the repayments of the few credits remaining on the assets side--and cash outflows--linked to operational costs and deposit refunds,” the CSSF said.

The Luxembourg District Court appointed Cédric Schirrer as liquidator and Françoise Wagener as bankruptcy judge.

The ruling also triggered the intervention of the Luxembourg Deposit Guarantee Fund ().

UPDATE: Investor protection plan activated

The Luxembourg investor compensation scheme, known as SIIL, has been activated, the CSSF on 13 October. .