The Swiss Federal Department of Finance fined the former head of risk and compliance at Credit Suisse CHF100,000 for not reporting money laundering suspicions related to the Mozambique scandal. The case involved misappropriated loans totaling $2 billion intended for state-owned projects, leading to significant financial penalties for Credit Suisse.
The Swiss Federal Department of Finance has levied a fine of CHF100,000 ($114,000) against the former head of risk and compliance at Credit Suisse. This action resulted from the individual’s failure to report suspicions of money laundering in connection with the Mozambique financing scandal in a timely manner.
Reportedly, the accused was aware of suspicious activities related to loans exceeding $2 billion intended for enhancing Mozambique’s coastguard and developing a tuna fishing fleet. However, a significant portion of these funds was misappropriated.
The former Credit Suisse manager’s lawyer has denied the allegations. The Mozambique case has seen Credit Suisse facing fines totaling approximately half a billion dollars from the US judiciary due to these transgressions. This development highlights regulatory and compliance failures within financial institutions and the consequences thereof.
In summary, the Swiss Federal Department of Finance’s decision to impose a fine on the former Credit Suisse manager underscores the importance of compliance in financial practices. The case serves as a reminder of the severe consequences that can arise from failing to report suspicious activities, particularly in significant financial dealings such as those involving Mozambique. The denial of allegations by the accused further illustrates the complexities of accountability in such situations.
Original Source: www.swissinfo.ch
