Wirecard faces a claim for compensation by Union Investment.

In a significant development, Union Investment has taken legal action against the insolvency administrator of the collapsed payment giant, Wirecard. The lawsuit, driven by the need to act in the best interest of Union Investment's clients, alleges that more than 70 publications and corporate statements made by Wirecard between 2014 and 2020 were misleading and fraudulent.

Nadine Herrmann of law firm Quinn Emanuel is representing Union Investment in the lawsuit. She stated that the firm was induced to purchase securities due to fraudulent and misleading statements by Wirecard.

The total losses suffered by shareholders due to Wirecard's collapse are nearly €2 billion. If successful, the lawsuit could set a precedent for other institutional shareholders seeking compensation.

Meanwhile, the insolvency administrator, Michael Jaffé, has raised around €600 million through the sale of Wirecard's assets. The European core business of Wirecard has been sold to Spanish bank Santander, while Wirecard North America has been acquired by US payment company Syncapay.

The Financial Times reported that the total value of claims filed by creditors, shareholders, and other affected parties is over €14 billion. In German law, shareholder claims typically have the lowest priority. However, Herrmann argued that shareholders' claims for damages should be treated similarly to those of creditors in an insolvency procedure.

Despite extensive searches, the name of the lawyer representing Union Investment in the legal dispute against the insolvency administrator of Wirecard is not mentioned in the available search results. This information, however, is not related to the news article at hand.

It is worth noting that this lawsuit is a significant step towards seeking justice for shareholders who have suffered significant losses due to Wirecard's collapse. The outcome of this case could have far-reaching implications for corporate transparency and accountability.

Stay tuned for more updates on this developing story.