Swedbank has reached a settlement agreement to pay $50 million in response to an anti-money laundering (AML) investigation conducted by the New York State Department of Financial Services (DFS). This settlement amount, which translates to approximately SEK 482 million, is set to be recorded as an expense in the bank’s financial results for the third quarter.
The DFS launched its investigation in 2019, focusing on Swedbank’s practices concerning anti-money laundering and counter-terrorism financing. The probe scrutinized the bank’s procedures and information reporting spanning from 2007 to 2019, covering operations in Sweden, Estonia, and the United States. The inquiry aimed to assess the effectiveness and compliance of Swedbank’s financial protocols during those years.
Jens Henriksson, Swedbank’s President and CEO, commented on the situation, emphasizing that the investigation pertains to incidents that took place over a decade ago. He highlighted that the settlement provides an opportunity for the bank to resolve a prolonged issue and move forward, putting these past events behind them.
This decisive financial settlement marks a significant development in Swedbank’s efforts to address regulatory challenges and demonstrates its commitment to adhering to stringent legal and financial standards. By resolving this matter, Swedbank aims to reinforce its position and continue its operations without the burden of this longstanding inquiry.