State loses arbitration case with ČSOB bank

The Czech bank ČSOB said on Wednesday an arbitration tribunal had rejected a 33.3 billion crown ($1.73 billion) claim by the Czech state, clearing the last major litigation case ahead of ČSOB's planned initial public offering. The bank said the tribunal in Paris had also granted it a 1.6 billion crown award against the state, plus interest. The Finance Ministry declined to comment but said it would hold a news briefing on the matter on Thursday. The disputes are related to the 2000 takeover by ČSOB of collapsing bank IPB, in a deal agreed with the state and involving state guarantees.