May 3, 2018 / 7:11 AM / 5 months ago

BRIEF-Danish FSA gives Danske Bank Orders And Reprimands Amid Estonian Money Laundering Controls

May 3 (Reuters) - Danske Bank A/S:

* SAYS DANISH FSA HAS ASSESSED ROLE OF DANSKE BANK’S MANAGEMENT AND SENIOR EMPLOYEES IN MATTER RELATING TO NOW CLOSED DOWN NON-RESIDENT PORTFOLIO AT DANSKE BANK’S BRANCH IN ESTONIA

* SAYS ASSESSMENT FROM DANISH FSA GIVES RISE TO EIGHT ORDERS AND EIGHT REPRIMANDS

* SAYS DANSKE BANK HAS TAKEN NOTE OF ORDERS AND REPRIMANDS FROM DANISH FSA

* SAYS IN ADDITION TO INITIATIVES ALREADY TAKEN IN RECENT YEARS, DANSKE BANK WILL NOW LAUNCH FURTHER MEASURES TO ENSURE THAT IT COMPLIES WITH ALL ORDERS

* CEO SAYS WE AGREE THAT WE SHOULD HAVE UNDERSTOOD DEPTH AND SCOPE OF PROBLEMS IN ESTONIA AT AN EARLIER STAGE AND SHOULD HAVE REACTED FASTER AND MORE FORCEFULLY

* SAYS DANISH FSA ORDERS TO REASSESS BANK’S AND BANKING GROUP’S SOLVENCY NEED IN ORDER TO ENSURE AN ADEQUATE INTERNAL CAPITAL COVERAGE OF COMPLIANCE AND REPUTATIONAL RISKS AS A RESULT OF WEAKNESSES IN BANK’S GOVERNANCE

* SAYS FSA INITIALLY ESTIMATES THAT A PILLAR II ADD-ON SHOULD AMOUNT TO AT LEAST DKK 5 BILLION, OR ABOUT 0.7% OF REA (RISK EXPOSURE AMOUNT) AT END OF 2017

* SAYS OWN INVESTIGATIONS OF ESTONIA BRANCH ARE EXPECTED TO BE COMPLETED IN SEPTEMBER 2018 AT LATEST

* SAYS AN ADD-ON OF DKK 5 BILLION WILL INCREASE GROUP’S SOLVENCY NEED FROM 10.5% TO 11.2% CALCULATED AT 31 MARCH 2018 Source text for Eikon: Further company coverage: (Reporting by Stine Jacobsen)

0 : 0
  • narrow-browser-and-phone
  • medium-browser-and-portrait-tablet
  • landscape-tablet
  • medium-wide-browser
  • wide-browser-and-larger
  • medium-browser-and-landscape-tablet
  • medium-wide-browser-and-larger
  • above-phone
  • portrait-tablet-and-above
  • above-portrait-tablet
  • landscape-tablet-and-above
  • landscape-tablet-and-medium-wide-browser
  • portrait-tablet-and-below
  • landscape-tablet-and-below