Deutsche Bank raided over money laundering, offshore Panama Papers trouble
30 Nov 2018

Police officers in Frankfurt raided the offices of Deutsche Bank regarding a Panama Papers investigation, which is believed to involve facilitating money laundering in tax havens.

Deutsche Bank confirmed raids occurred on Thursday morning, saying in a statement: “We confirm that the police are currently conducting an investigation at a number of our offices in Germany. The investigation relates to the Panama Papers. We will be issuing further details in due course. We are cooperating fully with the authorities.”

The investigation is reportedly focused on two staff members who allegedly assisted clients with setting up offshore firms to facilitate money laundering.

Authorities are also understood to be investigating Deutsche workers’ failure to report money laundering and tax evasion suspicions.

In recent days, the German lender has been in the news regarding another high profile money laundering scandal in which a whistleblower’s testimony suggested that $150 billion in suspicious money could have been processed through the bank’s system.

The suspicious funds are central to the biggest money laundering scandal this year which focuses on €200 billion in suspicious funding that was processed by Danske Bank’s Estonian unit.

Much of this money is believed to have originated from Russia, and has been linked to British firms.

Deutsche recently warned that it could be badly hit if ongoing regulatory investigations find against it, saying in its latest company results:

“Our anti-money laundering and KYC processes, as well as our other internal processes that are aimed at preventing use of our products and services for the purpose of committing or concealing financial crime and our personnel responsible for our efforts in these areas, continue to be the subject of scrutiny by authorities in a number of jurisdictions.

“If these authorities determine that the Bank’s processes were materially deficient or if we are unable to significantly improve our infrastructure and control environment in a timely manner, our results of operation, financial condition and reputation could be materially and adversely affected.”

– Irene Madongo

Read more:

Deutsche Bank ordered to improve due diligence, anti-money laundering, KPMG to monitor

Due diligence: Deutsche Bank reports show chinks in money laundering armour

Panama Papers – No banks to blame, say top European regulators

Money laundering: Deutsche Bank ‘processed $150 billion of suspicious cash’

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