The bankruptcy of the hacked therapy center Vastaamo has proposed to cap compensation for victims at 2,500 euros. Thousands of people have sought damages from the bankruptcy estate.
The estate proposed the payment of 2,500 euros in a press release that it sent to creditors. At this point, the amount is only a suggestion and there is no certainty that the victims will receive this amount.
“This estimate is not the final position of the property manager”, property manager Vastaamo Nina Aganimov said Yle.
Tomi Voutilainen, professor of public law at the University of Eastern Finland, said victims would have to accept compensation of 2,500 euros, if it came true.
“In court, that amount could decrease, or there could be no compensation at all,” he said.
Thousands of people have sought compensation from the mass bankruptcy and the police have received some 25,000 criminal reports in connection with the hack of the Vastamo patient database.
Vastaamo was put into liquidation earlier this year, following a hacking and blackmail scandal. When it filed for bankruptcy in February, the company identified assets of some 2.2 million euros but debts of nearly six million euros.
Victims can claim damages for emotional suffering or financial loss resulting from the misuse of personal information.
Claims by victims range from 1,000 to 10,000 euros, depending on Joni Siikavirta, including the law firm Potilasvahinkoapu (“Patient injury aid”) represents a group of victims of Vastaamo.
“I think the compensation suggested by the property manager is realistic,” Siikavirta said.
If the bankruptcy estate and the victims cannot agree on compensation, the case will go to court.
Bankruptcies in Finland usually pay creditors in descending order. Helsingin Sanomat previously reported that Vastaamo’s debts to Osuuspankki bank alone exceeded the company’s funds.
Vastaamo sold its remaining business to Verve, a provider of social assistance at work.