Switzerland\u2019s financial supervisor FINMA says one of the country\u2019s largest banks, Credit Suisse, failed to properly oversee its anti-money laundering procedures for FIFA, as well as Brazil\u2019s and Venezuela\u2019s state oil companies.<\/p>\n
According to the regulator, the banking multinational showed serious \u201cdeficiencies\u201d in its attempts to counter illegal financial activities when dealing with soccer\u2019s ruling body FIFA, Brazilian oil corporation Petrobras, and Venezuela’s state energy company PDVSA.<\/p>\n
\u201cTo combat money laundering effectively, every relevant department within the bank must be able to see all the client’s relationships with the bank instantly and automatically,\u201d FINMA said, adding that some progress had been made so far.<\/p>\n
The financial regulator said Credit Swiss rewarded a star private banker who breached compliance regulations with high payments and positive reviews instead of disciplining him. A banking source identified the manager as Patrice Lescaudron, who was jailed for five years in February, according to Reuters.<\/p>\n
\u201cThe identified shortcomings occurred repeatedly over a number of years, mainly before 2014,\u201d the watchdog said. \u201cAn above-average number of faults were discovered in business relationships opened by the former group subsidiary Clariden Leu AG.<\/p>\n
\u201cFINMA identified deficiencies in the anti-money laundering process, as well as shortcomings in the bank\u2019s control mechanisms and risk management,\u201d the statement reads.<\/p>\n
The Swiss watchdog will reportedly appoint an independent auditor to monitor the banking giant\u2019s control and risk-management procedures and anti-money laundering measures. The current regulation doesn\u2019t let FINMA fine the banks that it supervises or force them to disgorge profits.<\/p>\n
In response, the Zurich-based multinational said the probe had discovered \u201clegacy weaknesses,\u201d stressing that it had already acted to improve compliance.<\/p>\n
\u201cImplementing a culture of compliant growth at Credit Suisse is our highest priority and it is an individual and collective responsibility that we take extremely seriously,\u201d the bank said. \u201cWe will continue to work closely with FINMA to complete the changes that are underway and implement additional measures.\u201d<\/p>\n
Switzerland\u2019s second-biggest bank behind UBS also fell short in terms of its obligations to tackle alleged corruption while managing \u201ca significant business relationship\u201d with a politically exposed person, according FINMA.<\/p>\n","protected":false},"excerpt":{"rendered":"
Switzerland\u2019s financial supervisor FINMA says one of the country\u2019s largest banks, Credit Suisse, failed to […]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[1],"tags":[],"class_list":["post-591","post","type-post","status-publish","format-standard","hentry","category-news"],"yoast_head":"\n