Kenneth Rijock

Kenneth Rijock

Wednesday, May 1, 2019

RAISE COUNTRY RISK ON DENMARK DUE TO REGULATORY FALURES



The disclosure that a confidential document, issued by the European Banking Authority, reported that the Russian Central Bank warned Denmark twice, in 2007 and in 2013, of rampant money laundering through Danske Bank's Estonian branch, but Danish financial regulators failed to respond with any meaningful action.

The amount of €200bn was estimated as the total sum laundered through Danske Bank, using shell companies with no legitimate business, for money laundering and tax evasion by Russian nationals. Given the sheer volume of illicit transactions, through this one financial institution, which was allowed by regulators, compliance officers charged with assessing Country Risk for their banks, should raise ir for Denmark at this time, and keep it elevated until the country created an effective AML/CFT program.


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