Vesttoo oust CEO following fraud scandal 

FinTech company Vesttoo has laid off its co-founder and CEO in wake of its fraud scandal.  

The decision to oust CEO Yaniv Bertele as well as co-founder and chief financial engineer Alon Lifshitz follows the on from a scandal over a fraudulent letter of credit used as collateral in a transaction with an insurer, according to Israeli media outlet Calcalist. 

Earlier this week, Bertele was allegedly the decision-maker as Vesttoo shockingly sacked 75% of its workforce and closed multiple offices across Asia. 

A statement sent to Calcalist on behalf of Yaniv Bertele stated: “Unfortunately, parties with their own interests have chosen to take advantage of the temporary crisis that the company has fallen into in order to promote an improper takeover, even at the cost of causing fatal damage to the company and prioritizing their personal interests over the interests of the company and its investors.  

“This move was accompanied by false and consistent leaks in the media that caused the company heavy and real damage. This is particularly true when considering that an external investigation did not establish any suspicion against any of the members of the company’s management, and for good reason. 

A statement from the Vesttoo Board of Directors underlined, “We can confirm that the board is considering the removal of Yaniv Bertele, Chief Executive Officer and Alon Lifshitz, Chief Financial Engineer, from their positions at the company. They will be on paid leave until a final decision is taken. We are exploring multiple options for interim replacements, but no decision has been taken as of yet.

“We want to emphasize that there are no plans to liquidate the company. Our aim is to help the company overcome this crisis, provide solutions to affected clients, and focus on our core services and value proposition in order to rebuild the company. The board has actively stepped in to assist in the company’s day-to-day operations for this purpose.”

Keep up with all the latest FinTech news here 

Copyright © 2023 FinTech Global 

Enjoying the stories?

Subscribe to our daily FinTech newsletter and get the latest industry news & research


The following investor(s) were tagged in this article.