A claim for compensation for damages has been filed against HSBC Bank Malta plc by a Sliema couple alleging that they have suffered “massive losses” on account of the bank’s failure to supply them with “fair, clear and not misleading” information on their investment.

Joseph and Adelina, spouses Vella, today filed a judicial letter before the civil courts claiming that bank representatives supplied them with incomplete and incorrect information when they had invested in Dutch SNS Bank bonds back in 2012 and 2013.

The couple had no idea of the risk involved, since this investment did not feature under the listed ‘Higher Risk Bonds’, the Court was told.

Had HSBC carried out a proper due diligence exercise, it would have realised that SNS Bank had been bailed-out by the Dutch government a few years back and had been downgraded by Moody's six times.

When these subordinated bonds were seized by the Dutch government, without compensation being offered to investors, the Maltese couple suffered a massive loss of capital and interests.

For this reason, they called upon HSBC to liquidate and settle the damages, while reserving their right to take further legal action.

Lawyer Stefano Filletti signed the judicial letter.