The Luxembourg Deposit Guarantee Fund had reimbursed an average of around €40,000 per client to fewer than 100 former depositors of Banque Havilland by the end of 2024, after the bank was placed under administration on 9 August and had its banking licence revoked, the compensation body told Paperjam. Library photo: Matic Zorman

The Luxembourg Deposit Guarantee Fund had reimbursed an average of around €40,000 per client to fewer than 100 former depositors of Banque Havilland by the end of 2024, after the bank was placed under administration on 9 August and had its banking licence revoked, the compensation body told Paperjam. Library photo: Matic Zorman

Following the court-ordered suspension of Banque Havilland on 9 August 2024, the Luxembourg Deposit Guarantee Fund has reimbursed €4.0m to fewer than 100 eligible depositors, the agency told Paperjam.

The Luxembourg Deposit Guarantee Fund (FGDL) confirmed to Paperjam that it had reimbursed €4m to fewer than 100 eligible depositors of Banque Havilland as of the end of 2024, following the suspension of payments ordered by the Luxembourg District Court.

The FGDL--a public body in grand duchy--is responsible for reimbursing client depositors in the event of a bank’s failure. In such cases, compensation is typically made within seven working days, covering deposits up to €100,000 per person, irrespective of currency, the number of accounts held or the depositor’s nationality or residence.

“As at 31 December 2024, the FGDL reimbursed an amount of €4.0m to approximately less than 100 eligible depositors of Banque Havilland SA who have requested a reimbursement and whose reimbursement file was assessed as complete and accurate,” a spokesperson for the FGDL stated.

The European Central Bank Banque Havilland’s banking licence on 1 August 2024, triggering the Luxembourg Financial Sector Supervisory Commission (CSSF) to assume interim administrative control of the bank. On 9 August 2024, the Luxembourg District Court (Tribunal d’Arrondissement de Luxembourg) formally placed Banque Havilland and ordered the suspension of payments, activating the FGDL’s mandate under the law of 18 December 2015 on the failure of credit institutions and certain investment firms.

Banque Havilland remains under administration, with no liquidation proceedings announced to date. At the time of the ECB’s decision, the bank 132 staff in Luxembourg.

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