The settlement resolves DFS’s investigation into Swedbank’s compliance with New York banking law, which was sparked by the 2016 Panama Papers leak, and the bank’s failure to fully cooperate with requests for information during that investigation, DFS said in a July 16 statement. press release.
“Financial institutions have a legal obligation to comply with New York’s laws and regulations designed to protect the integrity of the financial system,” Acting Superintendent Caitlin Esro he said in the release. “The Ministry holds institutions responsible for ensuring that they fulfill their obligations and fully cooperate with the Ministry’s supervision.”
Swedbank said on July 16 press release The settlement with DFS covers its failure to disclose information to the authority on two occasions, in 2016 and 2018, and concludes all investigations into the bank’s “historic deficiencies.”
Investigations began in 2019 and were conducted in the United States, Sweden and Estonia. These cases relate to Swedbank’s efforts to prevent money laundering and terrorist financing, as well as the disclosure of information between 2007 and 2019, according to the statement.
Goran PerssonSwedbank’s Chairman of the Board of Directors said in the statement: “All investigations into the bank’s historical shortcomings have been completed. Swedbank can now devote full focus to customers, business development and delivering shareholder value.”
Jens Henrikssonpresident and CEO of Swedbank, said in the statement: “The DFS investigation involved conduct from nearly a decade ago. We can now put that behind us.”
It was reported in March 2019 that following Money laundering Following the scandals, DFS alerted Swedbank in February 2019 that it was looking into seven different issues at the bank.
The report came on the same day that Swedish prosecutors raided Swedbank, hours after it was revealed that the bank had handled money coming from non-residents in high-risk countries, especially from Russia, through its Estonian branch over the past 10 years.
