• Swedish banks make ‘too easy money’
• Norway sues Citigroup after massive losses

Sweden’s third biggest banking group SEB, controlled by the powerful Wallenberg family, is being sued for 200 million euros ($272 million) by a hedge fund based in the British Virgin Islands.

London-based Times Thursday wrote that that Euroption Strategic Fund is accusing SEB of failing to close out its investment positions after seizing control of its portfolio during the credit crisis.

The hedge fund claims the bank slashed the value of its portfolio.

The lawsuit will be close watched by other hedge funds that feel they have been mistreated after their investment positions were taken over by banks during the crisis, the British newspaper said. The lawsuit is likely to be heard next year.

SEB declined to comment on the matter.

In September Norway's central bank sued Citigroup for allegedly providing false financial statements which led to losses of about 835 million dollars.

The Stockholm-based banking group posted better-than-expected third-quarter profit as the bank clawed back provisions for loan losses in the crisis-hit Baltic region. Also its peers Nordea, Swedbank and Handelsbanken reported better-than-expected profits.