After more than four months of investigation, Swiss Life/Rentenanstalt welcomes the conclusion of the inquiry into matters concerning Long Term Strategy AG (LTS) conducted by the Federal Office of Private Insurance (FOPI). Swiss Life/Rentenanstalt made an important contribution to these proceedings by providing the results of its own investigations, as well as detailed documentation concerning LTS. The review by the Federal Office of Private Insurance confirms the following:
- LTS was correctly represented in Swiss Life/Rentenanstalt’s annual financial statements for 2000 and 2001
- LTS and its corporate bodies were properly entered in the register of companies, which could be examined by anyone
- the LTS scheme, as approved by the Board of Directors’ Committee, took the form of an investment company in compliance with Swiss law
- the activities of LTS generated a profit for Swiss Life/Rentenanstalt from which its insured persons also benefited.
A study by independent external experts commissioned by Swiss Life/Rentenanstalt further concluded that
- the Board of Directors’ Committee fulfilled its duty of supervision, and
- all costs arising in connection with LTS were reimbursed to the company by LTS and its shareholders
As to the question of whether the Board of Directors¡¦ Committee breached its duty of supervision, the conclusions of this expert opinion contradict the statement by the Federal Office for Private Insurance. The possibility of contesting the FOPI decision on this point will be explored following receipt of the formal ruling.
Yet another legal opinion drawn up by external experts came to the conclusion that, based on what is known at this time, there are no legal grounds for Swiss Life/Rentenanstalt to bring civil suit against the former members of the Corporate Executive Board who participated in LTS. However, Swiss Life/Rentenanstalt intends to reconsider this point based on the Federal Office of Private Insurance ruling and to exhaust all available legal remedies.
The company's reputation has been damaged by LTS to an extent exceeding its substantive importance. Mistakes were made, and these have been rectified. The Board of Directors has drawn the necessary conclusions, as evidenced by the changes in top management, and the separation of duties of the Chief Financial Officer and the Chief Investment Officer. There is no longer an investment company at Swiss Life/Rentenanstalt for its management.
Swiss Life
The Swiss Life Group is one of Europe's leading providers of long-term savings and protection and life insurance. The Swiss Life Group offers individuals and companies comprehensive advice and a broad range of products via agents, brokers and banks in its domestic market, Switzerland, where it is market leader, and selected European markets. Multinational companies are serviced with tailor-made solutions by a network of partners in over fifty countries.
The Swiss Life Group, registered in Zurich, was founded in 1857 as the Swiss Life Insurance and Pension Company. Shares of Swiss Life Holding are listed on the SWX Swiss Exchange (SLHN). The company employs around 12 000 persons.
- LTS was correctly represented in Swiss Life/Rentenanstalt’s annual financial statements for 2000 and 2001
- LTS and its corporate bodies were properly entered in the register of companies, which could be examined by anyone
- the LTS scheme, as approved by the Board of Directors’ Committee, took the form of an investment company in compliance with Swiss law
- the activities of LTS generated a profit for Swiss Life/Rentenanstalt from which its insured persons also benefited.
A study by independent external experts commissioned by Swiss Life/Rentenanstalt further concluded that
- the Board of Directors’ Committee fulfilled its duty of supervision, and
- all costs arising in connection with LTS were reimbursed to the company by LTS and its shareholders
As to the question of whether the Board of Directors¡¦ Committee breached its duty of supervision, the conclusions of this expert opinion contradict the statement by the Federal Office for Private Insurance. The possibility of contesting the FOPI decision on this point will be explored following receipt of the formal ruling.
Yet another legal opinion drawn up by external experts came to the conclusion that, based on what is known at this time, there are no legal grounds for Swiss Life/Rentenanstalt to bring civil suit against the former members of the Corporate Executive Board who participated in LTS. However, Swiss Life/Rentenanstalt intends to reconsider this point based on the Federal Office of Private Insurance ruling and to exhaust all available legal remedies.
The company's reputation has been damaged by LTS to an extent exceeding its substantive importance. Mistakes were made, and these have been rectified. The Board of Directors has drawn the necessary conclusions, as evidenced by the changes in top management, and the separation of duties of the Chief Financial Officer and the Chief Investment Officer. There is no longer an investment company at Swiss Life/Rentenanstalt for its management.
Swiss Life
The Swiss Life Group is one of Europe's leading providers of long-term savings and protection and life insurance. The Swiss Life Group offers individuals and companies comprehensive advice and a broad range of products via agents, brokers and banks in its domestic market, Switzerland, where it is market leader, and selected European markets. Multinational companies are serviced with tailor-made solutions by a network of partners in over fifty countries.
The Swiss Life Group, registered in Zurich, was founded in 1857 as the Swiss Life Insurance and Pension Company. Shares of Swiss Life Holding are listed on the SWX Swiss Exchange (SLHN). The company employs around 12 000 persons.
Cautionary statement regarding forward-looking information
This publication contains specific forward-looking statements, e.g. statements including terms like “believe”, “assume”, “expect” or similar expressions. Such forward-looking statements are subject to known and unknown risks, uncertainties and other factors which may result in a substantial divergence between the actual results, financial situation, development or performance of the company and those explicitly or implicitly presumed in these statements. Against the background of these uncertainties readers should not place undue reliance on forward-looking statements. The company assumes no responsibility to update forward-looking statements or to adapt them to future events or developments.
This publication contains specific forward-looking statements, e.g. statements including terms like “believe”, “assume”, “expect” or similar expressions. Such forward-looking statements are subject to known and unknown risks, uncertainties and other factors which may result in a substantial divergence between the actual results, financial situation, development or performance of the company and those explicitly or implicitly presumed in these statements. Against the background of these uncertainties readers should not place undue reliance on forward-looking statements. The company assumes no responsibility to update forward-looking statements or to adapt them to future events or developments.