Daily Management Review

Deutsche Bank Moscow is Suspected in Money Laundering


08/04/2015


US Justice Department began an investigation into the Moscow office of Deutsche Bank on suspicion of money laundering, reports Bloomberg. According to the department, suspicious transactions worth billions of dollars were made on behalf of the Russian bank's customers during the year. A credit institution requested a list of employees involved in these operations.



Reuters/Johannes Eisele/Files
Reuters/Johannes Eisele/Files
Suspicions of the American agency were raised by the so-called mirror transactions with specialized financial instruments - derivatives. Bank customers bought them for rubles on the Moscow stock exchange OTC market, and a few seconds later sold on the OTC market in London.

The Department of Financial Services of New York on July 14 asked the Deutsche Bank for documents of its Moscow office to track suspicious transactions. According to the agency, of a special interest was the episode with a bribe, which was supposedly offered to employees of the bank for the resumption of operations with the counterparty with whom the work has been suspended for the time of internal investigation of money laundering. However, according to the investigation, an employee of a credit institution refused to take the money.

Also the US Justice Department is interested in whether any Russian bank customers illegally exchanged rubles for dollars or the existing sanctions against Moscow were broken. The operations of the financial institution with mortgage securities are being examined as well. Deutsche Bank itself does not comment on the situation.

In the second quarter of 2015, Deutsche Bank spent on legal services up to 1.2 billion euros - twice as much as analysts expected.

Deutsche Bank is the largest bank in terms of assets in Germany, founded in 1870. In Russia, the organization works since 1881.

Derivatives are contracts that confer effecters with the right or the duties to perform certain actions with respect to the underlying asset. A classic example of such contracts are crude oil futures, which are traded on international exchanges and determine the price of fuel.

source: bloomberg.com






Science & Technology

Facebook may start production of its own microprocessors

Long-Term Alcohol Monitoring Could Be Possible With A New Injectable Chip Developed By U.S. Researchers

Sweden Now Has The First Electrified Road In The World

Over 270,000 Account Globally Banned From Twitter For Promotion Of Terrorism

Device Capable Of Hearing The Inner Voice Developed By Researchers

New mobile technologies will warn about natural disasters

The brewing industry welcomes blockchain

Asset-Sharing App Of Ryder Is Meant For Commercial Vehicles

Credit Suisse: China will become the leader in AI sphere

Five new technologies that will change the world

World Politics

World & Politics

Debates over Google are heating as a new EU directive is about to be introduced

Will Merkel accept Macron's plans for Europe?

USA and China are pushing North Korea to denuclearization

Germany's dilemma: Will the atomic energy win?

A Forceful Response To Syria Attack Will Be Given By U.S.: Trump

Is Trump’s Maximum Pressure Tactic On North Korea Succeeding Because Of China?

Why are Turkey-EU relations moving back?

Record-Breaking $39 Million raised for Rare Cancer Research in 2018 by Cycle for Survival