Bulletin
Investor Alert

The Wall Street Journal Archives | Email alerts

Sept. 14, 2018, 9:32 a.m. EDT

U.S. probes Danske Bank over money laundering allegations involving Russia

Probes are ongoing and are related to transactions at Danske’s tiny Estonian branch over several years through 2015

new
Watchlist Relevance
LEARN MORE

Want to see how this story relates to your watchlist?

Just add items to create a watchlist now:

  • X
    Danske Bank A/S (DANSKE)
  • X
    Deutsche Bank AG (DBK)
  • X
    Citigroup Inc. (C)

or Cancel Already have a watchlist? Log In

By Bradley Hope, Patricia Kowsmann and Drew Hinshaw


Wikimedia Commons/Finn Årup Nielsen

U.S. law enforcement agencies are probing Denmark’s largest bank over allegations of massive money laundering flows from Russia and former Soviet states, according to a person familiar with the matter and documents reviewed by The Wall Street Journal.

The Justice Department, Treasury Department and Securities and Exchange Commission are each examining Danske Bank after a confidential whistleblower complaint was filed to the SEC more than two years ago, the person familiar said. The probes are ongoing and related to transactions at Danske’s /zigman2/quotes/209678580/delayed DK:DANSKE -1.39%  tiny Estonian branch over several years through 2015. The Journal reported earlier this month that the bank is studying $150 billion that flowed through accounts of non-Estonian account holders at the branch.

The whistleblower complaint identified Deutsche Bank AG /zigman2/quotes/205584254/delayed DE:DBK -4.89%  and Citigroup Inc. /zigman2/quotes/207741460/composite C -2.28%  , both overseen by U.S. regulators, as involved with transactions into and out of Danske Bank’s Estonian branch. Deutsche Bank acted as a correspondent bank for Danske, handling dollar wire transfers. Citigroup’s Moscow office was involved in some of the transfers through Danske Bank’s Estonian branch, the person familiar with the probes said.

A spokesman for Danske said the bank often talks to regulators. “However, as a general rule, we do not comment,” the spokesman said.

An expanded version of this report appears at WSJ.com.

Popular now on WSJ.com:

Feinstein Relays Allegation About Kavanaugh to FBI

Trump Denies Heavy Death Toll in Puerto Rico From Hurricane Maria

/zigman2/quotes/209678580/delayed
DK : Denmark: OMX
kr. 120.55
-1.70 -1.39%
Volume: 2.57M
Feb. 21, 2020 4:59p
P/E Ratio
7.21
Dividend Yield
7.05%
Market Cap
kr.104.37 billion
Rev. per Employee
kr.4.43M
loading...
/zigman2/quotes/205584254/delayed
DE : Germany: Frankfurt
9.38
-0.48 -4.89%
Volume: 66,396
Feb. 21, 2020 8:58p
P/E Ratio
N/A
Dividend Yield
N/A
Market Cap
N/A
Rev. per Employee
€417,912
loading...
/zigman2/quotes/207741460/composite
US : U.S.: NYSE
$ 76.44
-1.78 -2.28%
Volume: 14.02M
Feb. 21, 2020 6:30p
P/E Ratio
9.49
Dividend Yield
2.67%
Market Cap
$161.60 billion
Rev. per Employee
$479,167
loading...

Get news alerts on Citigroup Inc. — or create your own.
This Story has 0 Comments
Be the first to comment
More News In
Industries

Story Conversation

Commenting FAQs »
Link to MarketWatch's Slice.