Deutsche top execs see pay fall by 18 pc

DEUTSCHE Bank’s top management saw their total pay slashed by nearly a fifth last year after failing to hit profit targets.

The bank’s annual report also revealed yesterday that it has been subpoenaed by at least three US bodies and the European Commission over a probe into alleged manipulation of interbank lending data.

And it added that “a number of civil actions” including class action suits have been filed against it in the US over transactions related to the London Interbank Offered Rate (Libor), for which a number of banks are being investigated by regulators all over the world.

Aside from the Libor case, the lender had a tough year in its investment bank, and the total bill for rewarding Deutsche’s top executives dropped from €32.43m (£27m) a year ago down to €26.44m during 2011.

Including awarded shares, incoming co-chief executive and head of the investment bank Anshu Jain took an 18 per cent cut in his total pay, which went from €11.9m in 2010 to €9.7m last year.

Jürgen Fitschen, head of DB’s German division and also incoming co-CEO, saw his pay drop by a small amount to €2.9m.

Josef Ackermann, who will hand over to Jain and Fitschen in June, was paid €6.3m, little change on 2010, but his package last year also includes a “golden goodbye”, which would in a better year have boosted his earnings higher.

Deutsche Bank said yesterday it had hired global security firm G4S to build and manage a new precious metals vault, as it seeks to cash in on booming investor demand for physical gold and silver. A source close to the deal said yesterday that the vault would be built in London, centre of the global bullion market, where vault space is running low.