Following an investigation, the Hong Kong Monetary Authority has found failures in the anti-money laundering processes of Indosuez and imposed a penalty against the French private bank.
The Hong Kong Monetary Authority (HKMA) has imposed a fine of HK$3.5 million ($450,000) against the Hong Kong branch of Crédit Agricole-owned private bank Indosuez over contraventions of the city’s Anti-Money Laundering and Counter-Terrorist Financing Ordinance (AMLO), according to a statement.
This follows an investigation by the regulator that found control lapses including Indosuez’s «failure to continuously monitor business relationships» with some clients via scrutiny of transactions between 11 February and 2 October 2016. The bank also failed to «maintain effective procedures for carrying out its duties under the AMLO» in relation to continuous monitoring during this period.
Bank Response
In response, Indosuez said that it accepts the HKMA’s decision and has taken remedial actions against the deficiencies identified. It also notes that it fully cooperated throughout the probe and was never accused of concealing or assisting money laundering or terrorist financing operations.
And in response to a finews.asia inquiry, a spokesperson for Indosuez also noted that the issues highlighted by the HKMA were not related to the recent case of alleged money laundering involving Chinese funds in Singapore and Hong Kong.
