Swedbank has reached a $50 million settlement with the New York State Department of Financial Services (DFS) to conclude an investigation into its anti-money laundering (AML) controls. This settlement, amounting to approximately SEK 482 million, is set to be reflected as a financial expense in the bank’s third-quarter results.
The probe, which began in 2019, scrutinized Swedbank’s practices concerning anti-money laundering and counter-terrorism financing. The investigation focused on the bank’s activities and reporting from 2007 to 2019, encompassing operations 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 resolving this longstanding issue through the settlement allows the bank to look ahead and focus on future endeavors.
Swedbank’s agreement to settle with the DFS marks a significant step in addressing regulatory concerns raised by the investigation, highlighting the bank’s efforts to improve its compliance controls and practices. The resolution is part of Swedbank’s broader commitment to strengthen its financial crime prevention measures.