The Financial Intelligence Unit (FIAU) has fined Lombard Bank € 340,058 for violating anti-money laundering rules.
In a statement issued yesterday evening, the bank said the FIAU had noticed shortcomings during an inspection it had carried out in September and October last year. The Bank reiterated that the breaches of obligations were of an administrative nature and did not relate to suspicions or evidence of money laundering. This while reiterating that it will be appealing from the FIAU decision.
The FIAU found that the bank had violated five money laundering and the fight against terrorist financing provisions. In one case, the Bank had failed to ascertain the source of client funds as a politically exposed person. The FIAU inspection resulted in the finding of three other files that lacked adequate information on the source of wealth.
Inspectors had also found shortcomings in the occasional review of files, with the FIAU in its report expressing concern that not all bank documentation was centralized. Failures by the Bank in scrutinizing transactions in customer accounts were also noted.