The Swedish FSA has also investigated how Swedbank AB’s Swedish operations adhered to anti-money laundering requirements. The investigation concludes that the bank has had deficiencies in its risk classification of customers and its transaction monitoring. The authority therefore concludes that the bank has not lived up to the anti-money laundering requirements in its Swedish operations.
On the basis of findings in both investigations, the Swedish FSA has decided that Swedbank AB should receive a warning and an administrative fine of four billion Swedish kronor. In the assessment of the Swedish and Estonian FSAs, the sanctions and the precept imposed on Swedbank will not jeopardize the bank’s current business or customers. The bank is well capitalized and has a good liquidity ratio.
The Estonian investigation concludes that the Estonian subsidiary has had severe deficiencies in its anti-money laundering risk control systems and that the bank failed to live up to the anti-money laundering requirements.
“Swedbank has not invested enough in preventative measures to combat money laundering risks,” Kilvar Kessler, head of the Estonian FSA, said. “The banking group made choices that allowed it to service higher risk clients without proper anti-money laundering systems and controls and without knowing to the fullest extent the money laundering risks posed from servicing these clients,” he added.