Arco Cooperators Face New Legal Battle Over 2011 Losses

Nearly 800,000 Arco cooperators, who lost an estimated €1.5 billion in 2011 following the bankruptcy of Arco cooperatives linked to Dexia, may be entering a new legal battle. The Belgian government's proposed guarantee system was previously rejected after a lengthy legal process, and this new development suggests further litigation. The outcome could set a precedent for state compensation in financial crises.