Deutsche Bank fined over money laundering allegations

Deutsche Bank commented it was cooperating with the authorities. The bank also said it had put aside a particular set of the amount to cope with the cost of the settlement.

In total, the New York authorities fined the bank $425m whereas the UK's FCA's fine was estimated to be £163m.

Regulators slammed the bank for failing to spot the scam, saying it had directed its business in an unsound and unsafe manner. They also said the investor's anti-financial crime teams were unsuccessful and understaffed.

These allegations have come in less than two weeks after the German bank decided a $7.2bn settlement with the US Justice Department over its involvement in the 2008 financial crisis.

During Monday's action, the regulators have also fined three other banks regarding damages of anti-money laundering laws. Italy's Intesa Sanpaolo was charged $235m, Mega Bank of Taiwan was fined $185m and Agricultural Bank of China was penalized $215m.

In addition to paying the settlement, Deutsche Bank would also have to hire an outside monitor to evaluate its internal compliance measures.