U.S. Fed Ramps Up Scrutiny of Deutsche Bank Over $230 Billion Danske Bank Money Laundering Scandal
By CCN.com: German lender Deutsche Bank is under investigation by U.S. authorities over suspicions of aiding money laundering for a correspondent bank.
According to Bloomberg, the U.S. Federal Reserve is scrutinizing how Germany’s largest banking institution handled suspicious transactions from Danish lender Danske Bank. Alongside other regulators, the Fed has a duty to ensure financial institutions under its purview follow anti-money laundering regulations.
Did Deutsche Bank Conduct Adequate Due Diligence?
Per the report, the Fed’s focus is on whether Deutsche Bank, as a correspondent bank of Danske, undertook adequate monitoring of funds transfers it performed at the request of the Danish lender.
This was specifically in relation to transactions carried out on behalf of Danske bank’s Estonian branch. Already, Danske has confessed that a large part of the $230 billion that flowed through its Estonian operation was tainted.
Read the full story on CCN.com
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