Wirecard Investors Challenge EY's Legal Restructuring Amid Liability Concerns

Ernst & Young (EY), facing backlash from Wirecard investors, is undergoing a notable legal restructuring, aiming to evade full liability for the Wirecard scandal. This development involves a double change in legal form, initially becoming a limited partnership (KG) and soon thereafter, seeing its tax, strategy, and consulting arms utilizing their right to exit the partnership. This strategic move has led to a significant reduction in EY's business volume, with only its audit service line remaining.

Despite EY's assurance that this restructuring is a benign adjustment to align with international structures, and not a tactic to diminish its liability for the Wirecard fiasco, investor advocates beg to differ. Law firm Schirp & Partner Rechtsanwälte, representing the aggrieved investors, vehemently disputes EY's claims. The firm suggests that EY's actions are calculated to limit its liability exposure from the scandal and advises Wirecard plaintiffs to demand collateral, leveraging the German Reorganisation Act to secure their claims.

This legal challenge focuses on ensuring that the aggrieved investors can access sufficient collateral from EY's transformed legal entities, including the audit division and potentially, the three exited service lines. The complexity of EY's restructuring and the legal nuances involved underscore the contentious battle ahead for both EY and Wirecard's disappointed investors.