Lombard Odier Fined CHF3 Million for Money Laundering Failures
Swiss private bank Lombard Odier has been fined CHF3 million ($3.7 million) by the Swiss Federal Criminal Court after being found guilty of failing to prevent a money laundering scheme linked to Uzbek businesswoman Gulnara Karimova’s network, known as 'The Office.' The court also handed a two-year suspended prison sentence to a former relationship manager at the bank for his role in facilitating the illicit transactions. Prosecutors had previously accused Lombard Odier of lacking adequate safeguards and failing to investigate suspicious activities involving funds linked to corruption. Lombard Odier has stated it disagrees with the ruling and plans to appeal, noting that no allegations were made against them regarding intentional participation in money laundering. The case dates back over 15 years, following a report by the bank to Swiss authorities in 2012.
Topics: banking_compliance criminal_prosecution financial_regulation