The bank concluded that there is a good chance that US and UK regulators will take legal action against it over a scheme also known as the Global Laundromat.
Thursday 18, April 2019
(Bloomberg) --Deutsche Bank highlighted the risk of legal action and fines in connection with a Russian money laundering scheme.
The lender’s senior bank managers may also be in danger of prosecution.
Deutsche Bank’s spokesman said that the bank cannot comment on potential or ongoing investigations or any matters regarding our regulators but is committed to providing appropriate information to all authorised investigations, adding that the lender has considerably increased its anti-financial crime staff since 2015.
Such legal action would add to existing issues faced by Germany’s largest lender. Police raided its Frankfurt headquarters last year seeking evidence that some employees at its wealth management unit helped clients avoid taxes.
Additionally, the US Federal Reserve is said to be investigating into the bank’s role in a money-laundering involving Danske Bank.
The internal report on the Russian Laundromat was prepared by Deutsche Bank anti-financial crime executives Philippe Vollot and Hinrich Volcker.
Vollot’s departure from the lender was announced last summer, suggesting that the report was prepared before that date, and he has since joined Danske Bank.