Deutsche Bank headquarters stormed amidst money laundering scam

Company - Mohit Shah - Dec 03,2018

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deutsche bank headquarters stormed amidst money laundering scam

On Thursday, tax investigators and around 170 police officers raided Deutsche Bank’s headquarters in Frankfurt, Germany, to investigate a probable money laundering cheat associated with the Panama Papers. 

Tax authorities stormed Deutsche bank headquarters together with six other branches on Thursday. The officials were able to apprehend two bank employees who are supposedly linked to a money laundering investigation concerning the Panama Papers.

The “Panama Papers”, comprises of millions of offshore tax structure documents that were managed by Panamanian law firm Mossack Fonseca. The papers got leaked to the media in the month of April 2016.

According to the prosecutors, they are investigating to check whether Deutsche Bank has supported clients to establish offshore companies in tax sanctuaries so that funds relocated to accounts at Deutsche Bank can hem anti-money laundering protections.

They also mentioned that Deutsche Bank employees are suspected to have broken their duties by simply ignoring any sort of money laundering suspicions associated to their clients and offshore firms that were a part of tax evasion schemes.

In response, the bank delivered a statement saying, “Of course, we will cooperate closely with the public prosecutor’s office in Frankfurt, as it is in our interest as well to clarify the facts”. Deutsche Bank further added that it had previously provided all the important information linked to “Panama Papers”.  

The news of this sudden investigation raid influenced the bank’s shares; Deutsche Bank stocks dropped by more than 2% by mid-day trading on Thursday.

Deutsche Bank has been in the headlines since last year when it was fined approximately $700 million for permitting money laundering via artificial trades between London, Moscow and New York. The U.S. Department of Justice is still managing the investigation.