Swedbank board backs CEO after external money-laundering report

  • Bizline

Mar 23, 2019-

STOCKHOLM: Swedbank’s board backed its chief executive on Friday after seeing the results of an external report into the Swedish bank’s alleged involvement in money-laundering in the Baltics. Several banks have been dragged into a scandal at Danske Bank, whose Estonian branch was used for 200 billion euros ($227 billion) of suspicious payments between 2007 and 2015, knocking their shares and fuelling investor fears. Swedbank’s second largest shareholder Mutual insurance company Folksam, which has a 6.96 percent stake, also said it was satisfied with the findings in the report. Forensic Risk Alliance (FRA) was hired by Swedbank last month to investigate media allegations that at least 40 billion Swedish crowns ($4.3 billion) of suspicious payments moved between accounts held at its Baltic branches and Danske Bank accounts. “After reviewing the FRA Update, the board confirms its continued confidence in the CEO and her ability to lead and manage the bank’s work in the fight against money laundering,” Swedbank chairman Lars Idermark said in the statement. The FRA inquiry, published by Swedbank but heavily redacted, was limited to the 50 clients identified in a Swedish Television report and did not include findings of a previous internal and undisclosed report or cover allegations made against Swedbank by activist fund manager Bill Browder.  (REUTERS)

Published: 23-03-2019 21:17

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