HSBC is to pay a cool 40 million Swiss francs (£28m) to Swiss authorities in order to end the money laundering investigation into its private bank in Geneva.
The money will close the investigation into “suspected aggravated money laundering” without admission of guilt.
Instead of such an admission, the bank will pay for what it called “past organisational deficiencies”.
Although tax evasion is not a crime in Switzerland, authorities in Geneva raided HSBC in February after details of how the private bank’s wealthy clients were being helped to avoid tax were published. Also published were references to assistance given to drug and weapons smugglers on money laundering.
“HSBC Private Bank [in Switzerland] has acknowledged that the compliance culture and standards of due diligence in place in the Bank in the past were not as robust as they are today,” a statement read.
“In recent years the Bank has undergone a radical transformation. It has implemented numerous initiatives designed to prevent its banking services being used to evade taxes or launder money.”
But it is not all over for HSBC. Authorities in the US, France, Belgium and Argentina are still investigating tax evasion at the bank.
The private bank now has some 10,000 accounts, having lost around 20,000 since 2007.
Comments
this is where the search should be now !
Where have all these accounts gone to ? Particularly if the account holders include drug dealers, weapon smugglers and ... rich Portuguese. Or all 3 !
Now get into Novo Banco and ask for an ounce of Morroccan. (then wink)
But it´s all right for a bank, of course. A bank which at the time was under the control of Rev Lord Steven Green, one of Cameron´s best friends. Having been both ennobled and ordained, Green must be untouchable.