Austrian banker Meinl freed on e100m bail in charges tied to Meinl European Land

British-born banker Julius Meinl V, scion of an Austrian coffee-roasting dynasty, has been released from jail after posting bail of e100m following his arrest on suspicion of defrauding investors via secretive share buybacks connected with the demise of Meinl European Land, a listed real estate firm launched by Meinl Bank, of which he is supervisory board chairman.

The most serious accusation is that MEL, under Meinl's direction, repurchased shares to support the price. The e1.8bn share buyback, which took place between February and July 2007 and sheltered MEL stock from a global sell-off, were neither authorised by nor disclosed to shareholders until their conclusion, when the news triggered a sharp sell-off. Other accusations include that the bank overcharged MEL shareholders for services and misled investors by portraying the stock between as a near risk-free investment. Meinl has denied the charges, and retains his post at Meinl Bank.