A logo is displayed above Deutsche Bank AG’s headquarters at Aurora Business Park in Moscow, Russia.
Andrey Rudakov | Bloomberg | beautiful pictures
Prosecutors, federal police and other officials searched Deutsche BankHeadquartered in Frankfurt on Friday in a move Germany’s largest lender said was linked to suspected money laundering it reported to authorities.
Led by Chief Executive Officer Christian Sewing, Deutsche Bank has been trying to restore its reputation after a series of embarrassing and costly regulatory blunders.
In a statement, Deutsche Bank said the search involved suspicious transactions that it had turned over to authorities and that it was cooperating fully.
Prosecutors said they had a search warrant but declined to divulge details. They said representatives of financial regulator BaFin are also participating.
BaFin and federal police declined to comment.
Shares of the bank fell more than 3% on news of the search and were down 2.7% in the early afternoon in Frankfurt.
In the past, problems related to money laundering have caused this bank to sink into boiling water.
For example, the US Department of Justice investigated it for years into transactions that authorities alleged were used to launder $10 billion out of Russia, which led to the German bank fined nearly $700 million.
In 2018, BaFin took the unusual step of installing KPMG as a special supervisor at Deutsche to monitor progress on money laundering controls.
Last year, BaFin ordered Deutsche to enact additional safeguards to prevent money laundering, and the regulator expanded the auditor’s mandate.
Deutsche said it has ramped up resources to combat money laundering.
This week, the bank posted a 17% increase in first-quarter profit on the back of increased investment banking revenue, but it warned that the conflict in Ukraine could hit quarterly earnings. five.
A Reuters witness said there was no sign of authorities outside the bank’s headquarters on Friday.