An Icelandic court found Sigurjon Arnason, former CEO of Landsbanki of Iceland, guilty of market manipulation in the lead up to the 2008 financial crisis and sentenced him to 12 months in prison.

Arnason however, denied any wrongdoing. "This sentence is a big surprise to me as I did not nothing wrong," Arnason told Reuters.

However, the Reykjavik District Court suspended nine months of his sentence and will be served as probation.

The court also convicted two of Arnason’s colleagues – Ivar Gudjonsson, who was a former director of proprietary trading, and banker Julius Heidarsson.

They have received prison sentences of nine months, out of which six months would be suspended.

Earlier, Hreidar Mar Sigurdsson, former chief executive of Kaupthing bank, was sentenced to prison for five and a half years, which is the heaviest sentence for financial fraud in Iceland till date.

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Larus Welding, former chief executive of Glitnir, was also convicted of fraud in 2012 and received a prison sentence of nine months, of which six months were suspended.

Geir Haarde, Iceland’s former prime minister, was found guilty of negligence leading up to the meltdown but was not given a jail sentence.