FILE PHOTO: A BlackRock Inc sign above its building in New York, United States, July 16, 2018. REUTERS/Lucas Jackson/File Photo
FRANKFURT (Reuters) – German state prosecutors in Cologne executed a search warrant at Blackrock’s offices in Munich on Tuesday, a spokesman said, adding that the company’s country chairman, Friedrich Merz, was not suspected of wrongdoing.
The prosecutors are investigating a fraud known as cum-ex that typically involved trading company shares rapidly around a syndicate of banks, investors and hedge funds to create the impression of numerous owners, each entitled to a tax rebate.
Reporting By Matthias Inverardi; Writing by John O’Donnell; Editing by Maria Sheahan