Oma-säästöpanki: From Profit Warning to Embezzlement Scandal: An Insight into the Bank’s Financial Turmoil

Oma-säästöpanki, a Finnish bank, has recently faced two cases of ambiguity within a short period. The second case involves the uncovering of a suspected gross embezzlement that lasted for years and resulted in approximately EUR 150,000 worth of damage. The former employee responsible for the crimes has been charged with gross embezzlement and forgery in the district court of Southern Ostrobothnia.

This case was discovered through internal control processes in October 2023, with the background of the suspect having gambling problems. This revelation comes shortly after another incident at Oma-säästöpanki where a profit warning was issued due to a breach of the bank’s lending guidelines, resulting in a EUR 19.5 million provision in the first quarter’s result. This led to a drop of over 14% in the bank’s stock on the Helsinki stock exchange.

Despite ongoing legal proceedings, CEO Pasi Sydänlammi clarified that this embezzlement case is unrelated to the profit warning. He stated that the bank is expected to provide more insight into their credit risks when they release their first-quarter interim report. This will end the quiet period before the earnings announcement, allowing for further clarification on the bank’s financial state.