Swedbank has reached a settlement with the New York State Department of Financial Services (DFS), agreeing to pay $50 million in connection with an investigation into its anti-money laundering (AML) practices. This sum, which amounts to roughly SEK 482 million, will be reflected as an expense in the bank’s financial statements for the third quarter.
The DFS investigation, which began in 2019, scrutinized Swedbank’s procedures related to anti-money laundering and counter-terrorism financing. The probe also evaluated the bank’s information reporting between the years 2007 and 2019, specifically focusing on activities in Sweden, Estonia, and the United States.
Jens Henriksson, Swedbank’s President and CEO, noted that the investigation pertained to incidents that took place over a decade ago. He emphasized that the settlement enables the bank to put this prolonged issue behind them and continue to move forward.
The settlement marks the conclusion of a lengthy inquiry into the bank’s practices, providing Swedbank with an opportunity to focus on its current operations and future endeavors. This resolution is seen as an essential step in addressing past compliance failures and enhancing the bank’s financial integrity.