Wirecard Innovation Team moves to Berlin-based Fintech

A team of technology experts from Wirecard WDIG.DE, the German payments company that collapsed in June, is joining a new digital innovation unit being set up by Berlin financial technology group finleap.

This move by the six-person team headed by Joern Leogrande, Wirecard’s former head of innovation, comes as the Munich-based group begins insolvency proceedings next month.

Finleap announced that Leogrande will lead a Corporate Innovation and Corporate Venture Building unit. The firm runs a group of 11 startups spanning banking, insurance and asset management. The team will support companies in their digital transformation.

Wirecard filed for insolvency on June 25 after publicly admitting that 1.9 billion euros ($2.2 billion) held in overseas trustee accounts probably did not exist.

Authorities are holding former CEO Markus Braun and other executives of the firm on on suspicion of running a criminal racket that defrauded creditors of about 3.2 billion euros. They have denied any wrongdoing, while former chief operating officer Jan Marsalek is  currently on the run.

Their appointed administrator Michael Jaffe, who is currently selling off parts of the business that are viable, said on Friday that a deal has already been finalized to sell Wirecard’s business in Brazil, while he has also agreed in principle to sell its UK assets to Railsbank.