The Wirecard logo can be seen on a smartphone held in front of a stock market chart.
Alexander Pohl | NurPhoto | Getty Images
The insolvent payment company Wirecard will be removed from the German benchmark index DAX this month after the exchange operator Deutsche Börse announced a change in its selection rules.
Deutsche Börse announced on Thursday that a rule change will be introduced from August 21, which will enable it to remove insolvent companies from the DAX with a period of two trading days. This rule change would apply to Wirecard "in view of the current situation".
Wirecard, once a high-flying tech company, went bankrupt in June after it was admitted that € 1.9 billion in cash had disappeared from its balance sheet. The company became part of the DAX index in 2018 and replaced the German lender Commerzbank.
Former CEO Markus Braun turned the company from a little-known payment processor for gambling and porn sites into one of Germany's hottest technology investments. He and other former executives have since been arrested on suspicion of orchestrating a $ 3.2 billion trade fraud.
The company's accounting scandal, which the Financial Times reported extensively last year, has led to much criticism of German regulators and politicians for failing to recognize and prevent it.
Wirecard has announced that it will not make any further statements. Delivery hero
The switch from Deutsche Börse takes place before a quarterly index review, which was scheduled for September 3rd. The company announced it will also conduct an "in-depth review" of its rules, the results of which will be announced by the end of the year.