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German fintech Wirecard, suspected of a $2 billion accounting fraud, has been expelled from Germany’s flagship inventory index since August 24.
German market operator Deutsche Boerse said Wednesday: “According to the new insolvency rule (section 5.1.1), Wirecard AG will be removed from the DAX index from 24 August.”
German fintech has been replaced by Delivery Hero SE, a food delivery service.
Deutsche Boerse announced last week that it would remove Wirecard from the board and that other bancrupt corporations would be removed from Germany’s leading DAX index, with two days of completion starting August 19.
This is the most recent escalation in a saga that saw the German payment processor record an insolvency case at the end of June.Fintech CEO Markus Braun was arrested on suspicion of market manipulation.
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Three former top executives were arrested for fraud. Earlier this month, German prosecutors filed a television appeal for details on the fate of Jan Marsalek, the former Wirecard COO, who has disappeared and is now on the list of Interpol’s Most Wanted.
Wirecard still continues its advertising activities despite the filing of an insolvency case.
Wirecard’s percentage value has dropped by 98% since the beginning of the year to 1.37 euros ($1.64).Before the void was revealed in their accounts in June, Wirecard’s percentages changed hands for about 130 euros ($154).