NEWS AND UPDATES
Case against DNB closed
2nd December 2020.
Brunstadstiftelsen has had a good customer relationship with DNB since the foundation was established in 2002, and wish to keep such a customer relationship in future. We are therefore pleased to announce that the case against DNB has been closed.
Contact information:
Finn Å. Ødegård, chairman
email: finn.odegard@brunstadstiftelsen.no
phone: +47 926 28 688
Brunstadstiftelsen appeal decision in case against DNB
19th October 2020
Brunstadstiftelsen has decided to appeal the judgement of 14 September, where Oslo district court concluded that Brunstadstiftelsen should not be refunded the credit facility costs of 3.6 million NOK.
We are appealing because the real reason DNB ended the credit facility was not reflected clearly enough in the courts decision. The reason is in the banks fear for their own reputation with having Brunstadstiftelsen and Brunstad Christian Church as customers, and the banks use of resources in monitoring the client relationship.
The bank refers to a demanding client audit in 2017. It was demanding because the bank chose to use press reports from Dagens Næringsliv and other media as documentation. These media had presented incorrect and false accusations which now have been thoroughly disproved and evidenced to be false both in their own investigation, and by the Norwegian financial crime department, Økokrim. It is clear that in 2017 DNB considered that the accusations could damage the banks own reputation.
That DNB – against the background of these accusations – did not want to allow Brunstadstiftelsen to use its credit facility, and in addition did not want to pay back the already paid credit facility fee of 3,6million NOK was in our view unreasonable. Brunstadstiftelsen has paid for a service what it would not receive.
We were informed of that decision in 2018, but it is clear that the decision was already taken in 2017, due to the reputational considerations of DNB. We consider that DNB had a duty to inform us at the time the decision was actually taken by the bank. BCC and BS have had a good customer relationship with DNB for more than 60 years and that gives DNB a duty to be loyal towards us.
We look forwards to presenting out documentation in relation to this in the Court of Appeal.
Contact information:
Finn Å. Ødegård, chairman
email: finn.odegard@brunstadstiftelsen.no
phone: +47 926 28 688
Court ruling
14th September 2020
As announced on the 28th August 2020, Brunstadstiftelsen wanted the court to rule on what we consider to be wrongful charges from DNB.
Brunstadstiftlsen has had a credit facility from DNB for many years. When Brunstadstiftelsen for the first time wanted to draw on the facility in connection with the ongoing building project, DNB chose to cancel the entire credit facility, and refused to allow us to draw on the loan, but the bank kept charges of around 3.6 million NOK.
Today, 14 September 2020, the judgement came from Oslo court. The judge concluded that Brunstadstiftelsen cannot get the credit facility charges repaid, even though they never got to use the credit facility to finance the building project at Oslofjord. We are disappointed at the courts decision and we will now study the grounds for the judges decision to consider appealing to a higher court. This in itself is not a dramatic case, which concerns interpretation of words in a contract between two professional parties. Brunstadstiftelsen now has a very solid capital situation and the decision does not affect the finances or development at Oslofjord.
Contact information:
Finn Å. Ødegård, chairman
email: finn.odegard@brunstadstiftelsen.no
phone: +47 926 28 688
Awaiting ruling in case between Brunstadstiftelsen and DNB
28th August 2020
On the 25th and 26th of August our case against DNB was heard in Oslo court. The case concerned Brunstadstiftelsen claiming back 3.6 million NOK in credit facility fees after we did not get the loan as agreed by the bank. The case is reported on on 28th August by Dagens Næringsliv, the newspaper which also plays a role in the case, according to Brunstadstiftelsen’s Finn Å. Ødegård.
– It is good that Dagens Næringsliv (DN) show interest in the case between DNB and Brunstadstiftelsen, as the newspaper is an important part of the background for it. Questions from Line Dugstad, and the newspaper report which followed in DN in 2016, have influenced DNBs treatment of Brunstadstiftelsen as a customer. The accusations in that report have now been proven to be false and untrue after thorough investigation by Økokrim (the Norwegian financial crime agency).
Also the foundations auditor PwC has investigated the false accusations which have spread and concluded that it is the board and its chief executive officer who are Brunstadstiftlsens ultimate beneficial owners. We have provided the same information to PwC and DNB when they investigated this.
Brunstadstiftelsen was established in 2002, and is an independent foundation, owned by its objectives. It is the board who have responsibility for stewarding the foundations assets to benefit the objectives.
– Brunstadstiftlsen publish accounts which show exactly how the foundation stewards its assets, and can be found by simply searching our website, and we have board members who responsibly ensure safe and secure organisation, stewardship of capital, and operations, says chairman Finn Å. Ødegård
Contact information:
Finn Å. Ødegård, chairman
email: finn.odegard@brunstadstiftelsen.no
phone: +47 926 28 688
Brunstadstiftelsen wants a ruling on claim for compensation
17th August 2020
Brunstadstiftelsen has maintained a good relationship with their bank DNB, for many years, and have been a loyal customer who have always met all their obligations. The foundation wants this relationship to continue.
Meanwhile in 2018 the bank chose, without warning, to withdraw a credit facility the foundation had in connection with financing the ongoing building project at Oslofjord. This was a credit facility Brunstadstiftelsen had paid hundreds of thousands of NOK for in credit facility fees, but which the bank withdrew when the foundation wanted to draw on the facility. We therefore want the court to rule on our claim for compensation for what we consider to be an wrongfully charged credit facility fees.
DNB in dialogue regarding this has based its position on erroneous and misleading information from reports in Dagens Næringsliv in 2016. This is articles with content which is proven false, but which has influenced societies perception of Brunstadstiftelsen over several years. The foundation expects more information will come out about the effect of this disinformation shortly.
It is important for Brunstadstiftelsen to have an open dialogue with all of their contacts and those they have relationships with, so if anyone has questions or wants to have dialogue please take contact.
Contact information:
Finn Å. Ødegård, chairman
email: finn.odegard@brunstadstiftelsen.no
phone: +47 926 28 688