PARIS, April 9 (Reuters) - The 1 billion euro ($1.07billion) deposit French magistrates have imposed on HSBCHoldings in a tax offence case represents nearly halfof the value of the bank's alleged tax fraud, a source close tothe matter said on Thursday.
The magistrates estimate that the bank's fraud is worth 2.2billion euros, the source said. The bank contests that figure,the source added.
The deposit imposed was equivalent to the maximum fine thebank risks under French law if the case goes to trial and HSBCloses. The bank said earlier it believed the French magistrates'decision was without legal basis and the deposit unwarranted.
The source said the deposit had to be posted by June 20which would allow an appeals court to consider HSBC's appealagainst the charges in the meantime. ($1 = 0.9314 euros) (Reporting by Chine Labbe, writing by Leigh Thomas)
HSBC Holdings (HSBA)