An estimated 170 regulators descended on Deutsche Bank’s global headquarters in Germany Friday after the financial giant alerted authorities about a potential money laundering case, according to a report.
Both European regulators — the Federal Financial Supervisory Authority (BaFin) — and German police raided the bank following a decision in a Frankfurt court, Bloomberg reported on Friday.
While it’s unclear whether Deutsche Bank bears any responsibility, it was enough to spook investors. In European markets, the stock was trading nearly 4% lower on the news.
“This is an investigative measure by the Frankfurt public prosecutor’s office in connection with suspicious activity reports filed by the bank,” the German bank said in a statement. “Deutsche Bank is fully cooperating with the authorities.”
This isn’t the first time the bank has been searched over money laundering woes. In 2018, the bank was fined $16 million for improper oversight and in 2019 the bank was investigated for money laundering but wasn’t charged.
The raid comes as Deutsche Bank has redoubled its compliance efforts and following a massive restructuring effort in which 18,000 people were fired following years of regulatory run-ins and disappointing earnings. The bank has posted two consecutive years of profits — and last year the bank saw its most profitable year in a decade.
Last month, The Post reported Deutsche Bank fired four New York employees — including a number of top executives — after a visit to a strip club was charged to the company.
Credit: Source link