The largest German bank Deutsche Bank will pay the fine, amounting to USD 630 mln, for the illegal scheme of withdrawal of USD 10 mln from Russia, BBC reports.
The financial organization agreed to pay USD 425 billion under the agreement, concluded with New York State Department of Financial Services. The bank will pay other 204 mln dollars to UK Financial Services Authority (FSA).
The message of New York regulator says that 10 bln were illegally withdrawn from Russia with the help of “back-to-back” deals, which were concluded through Moscow, London and New York offices of the bank.
US and UK financial authorities found out that “back-to-back” transactions were conducted in Deutsche Bank from 2011 to 2015.
During such transactions, the clients of the Moscow branch of the bank placed orders for purchasing shares of Russian companies in rubles. After that, more often on the same day – the companies, related to the purchaser sold the same shares at the same price in London. The seller was usually registered in offshore and paid in dollars.
About 12 companies were involved in this scheme. Neither transaction has the features of economic efficiency, according to the message of New York State Department of Financial Services.
US authorities consider that Deutsche Bank had “many opportunities” to unveil and terminate the illegal scheme; however, the bank management did not use any of these opportunities.
The mass media reported on shady transactions, which the Russian clients conducted through Deutsche Bank. In summer of the same year, it became known that the bank conducted internal audit.
In December, the Bank of Russia imposed fine on Deutsche Bank for RUB 300 ths for violation of the rules of internal control, committed by the Moscow office.
In April 2016, Deutsche Bank acknowledged that the system of internal control over transactions, designed for control over money laundering, has serious weaknesses. It was noted in the report, containing audit results, that the auditors considered the found problems critical, Bloomberg wrote.
