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Correction International Credit Bank of Geneva Official Says: ‘we Have No Financial Problems'; Bank

The reference in Tuesday’s JTA Daily News Bulletin to the “failure” of the International Credit Bank of Geneva, Switzerland was incorrect. The following statement was received by the JTA in New York from Hans Harry, chairman of the executive committee of the International Credit Bank of Geneva: “We are working normally. Our liquidity is quite in order. We have no financial problems. Our bank is open and always has been.”

At the same time, JTA’s London Bureau was informed by Arieh Handler, a director of the International Credit Bank and its London manager that: “The bank is functioning normally, of course. There was never a moment when it did not do so. There is, in fact, no direct connection between the bank and the investment corporation which was having liquidity problems. A number of steps have been taken and arrangements are nearing completion, to insure full liquidity for the corporation as well. The bank itself never had such problems.”

The Times of London reported from Frankfurt today that the West German Hessische Landesbank Girozentrale (Helaba) would provide a “sufficient” credit line to the International Credit Bank of Geneva should the Swiss bank need the funds. The West German bank holds a 36.4 percent interest in the Geneva bank. Helaba’s vice-chairman, Karl Claus, was quoted as saying that rumors of the Swiss bank’s difficulties had not affected its business “because of its good liquidity position.”