Munich  - After a day of angry protests from small investors, the German government secured complete control Monday of Hypo Real Estate (HRE), the mortgage lender and public-finance bank that nearly collapsed last year.

Thanks to government ownership of most of HRE's stock, a resolution was passed at a special general meeting of shareholders to commence a so-called squeeze-out, with the remaining minor shareholders to receive cash and lose their shares.

The resolution was passed by 94.73 per cent of shares represented at the meeting in Munich to strip the remaining private investors of their stock in the next few days.

HRE was Germany's principal casualty in last year's financial crisis.

The government was first obliged to extend huge guarantees to HRE, which dominates the covered-bond business in Germany, providing very- long-term finance to public authorities to build roads, schools and other amenities.

Berlin then injected loans in exchange for equity, giving it majority control of the company. The government says it will clear up the problems at HRE and re-privatize it once it returns to profit.

Small shareholders charged that they were being paid too little for their stock, now that the bank's future is assured, and vainly tried to filibuster and disrupt the meeting. The chairman ejected one shareholder from the hall for refusing to be silent. (dpa)