Lombard Bank: FIAU report leaves room for misleading, possibly malicious interpretation
On Friday, the FIAU said it had it had issued a fine of €340,000 against Lombard Bank after over breaches of money laundering regulations. Lombard Bank replied stating the report published by the Financial Intelligence Analysis Unit (FIAU) earlier last week left room for misleading and possibly malicious interpretation to be drawn
The fine came after the FIAU carried out an onsite compliance review in 2019.
The FIAU also reported shortcomings in the bank’s risk assessment procedures.
In a statement on Friday, the bank said it will be appealing against the decision.
The bank said that the breaches did not relate to any suspicions or evidence of money laundering, and that it was committed to prevent the use of its services for any form of illicit activity.
“Indeed, as a matter of policy it does not enter into business relations with those involved in sectors considered to carry inherent AML/CFT risks while it continues to strengthen its defences to this end.”
In another statement on Tuesday, the bank said that reports in the media about the case may stand to be misinterpreted.
It said the FIAU published excerpts from its findings, thereby not disclosing the context around the individual cases examined. “This leaves room for misleading and possibly also malicious interpretation to be drawn.”
The conclusions of the FIAU report in no way suggest the existence of a suspicion nor the presence of money laundering, the bank continued, reiterating that the penalties imposed shall also be contested at the appeal stage.
“The Bank shall be appealing each and every finding and shall avail itself of all legal means for this purpose. While the Bank thanks its customers, shareholders and staff members for their continued loyalty and support it assures all stakeholders that it will continue to exercise strict adherence to all regulatory obligations and guidelines so as to ensure that it remains fully compliant at all times and this without the least exception.”