From: RegTech Analyst
Roughly 60 investors are suing Danske Bank over the money laundering scandal.
The bank is under investigation for having allegedly allowed over $220bn in suspicious transactions being made through the bank between 2007 and 2015.
The law firm Németh Sigetty Advokatpartnerselskab filed the lawsuit on December 27 at the District Court of Copenhagen on behalf of the group of international investors in 16 countries.
The law firm represent International Securities Associations and Foundations Management Company for Damaged Danske Investors (ISAF-Danske), a part of ISAF Management, the international litigation research and administration organisation.
The suit claims the bank “violated Danish capital market laws by deliberately misleading and keeping investors in the dark for years, by not disclosing that its financial income statements and retained earnings included significant earnings from known illegal high-risk money laundering activities.”
The group includes pension funds, insurance companies and asset managers in a dozen countries.
“We will defend ourselves against the demands and deal with any development in collaboration with the bank’s lawyers,” Danske Bank said in a statement.
The fallout from the scandal has also affected Swedbank where the CEO and the chairman was ousted from the company as well as Deutsche Bank, where a whistleblower said it took years for the bank to alert authorities about the suspicious transactions.
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