A bank robbery occurred at Kreditbanken in Norrmalmstorg, Stockholm, when robbers Jan-Erik Olsson and his accomplice took four bank employees hostage on August 23, 1973. The plan was to obtain ransom, but as the situation unfolded, the negotiation process became complicated, leading to a prolonged standoff with police involvement. Initially, the police surrounded the bank, and negotiations began with Olsson, who was armed and demanding the release of a jailed accomplice. As the days went by, the hostages were held in a vault, and remarkably, they began to exhibit signs of bonding with their captors, even defending them during negotiations with law enforcement. This unexpected psychological shift raised questions about human behavior under duress. By the time the standoff ended five days later, all hostages were released unharmed, and the robbers were arrested, but the phenomenon of the hostages identifying with their captors captured the public’s imagination.

The media coverage of the incident was intense, and it not only highlighted the drama of the standoff but also led to discussions among psychologists about empathy under pressure. The term 'Stockholm syndrome' was subsequently coined to describe this psychological state where hostages develop positive feelings towards their captors, a behavior rooted in survival instinct and emotional response in dangerous situations. This term has found its way into discussions beyond criminal psychology, influencing literature, film, and the broader cultural discourse regarding coercion and loyalty. The event raised awareness around crisis management, law enforcement response, and the complexities of human relationships in high-stress scenarios.