Baugur boss vows to fight fraud allegations
18 May 2010 09:43
Jon Asgeir Johannesson of Baugur has resigned as chairman of Iceland Foods and director of House of Fraser to fight fraud allegations, according to press reports.
Mr Johannesson was the boss of Icelandic company Baugur, which once owned stakes in Debenhams, Woolworths, Iceland Foods, House of Fraser, Hamleys, Karen Millen, Whistles and Marks & Spencer.
He is now the centre of allegations that he led a $2bn (£1.4bn) conspiracy to "loot" collapsed bank Glitnir.
Mr Johannesson was the biggest investor in Glitnir, which last week filed lawsuits in Iceland, London and New York accusing its former part-owner of "siphoning off money" from the bank before its collapse in October 2008. The collapsed bank still owes £200 million to British local councils, which are not ranked as priority creditors.
On Monday Mr Johannesson released a statement, saying his resignation was "taken with regret in order to avoid any unwarranted damage being caused to these companies whilst he defends himself against the claims made by Glitnir Bank."
"Mr Johannesson does not own any shares in either business. He fully intends to defend himself against the claims made by Glitnir Bank and reiterates his innocence in relation to all the false allegations made," it added.
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