Defendants cleared over 2007 structured bond

An appeals court in Athens on Tuesday cleared the presidents and board members of six social insurance funds and representatives of four brokerage firms of any crimes in connection with a scandal involving a 280-million-euro government bond sold to pension funds at an allegedly inflated price in 2007.

A probe was launched into the sale of the structured bond after it emerged that the pension funds had bought it after it had been traded by several brokerages and banks.

In June 2007, investment bank JP Morgan agreed with the pension funds to buy back the bond after the government promised to compensate them.