Reported by Reuters

Austrian regulators fined Raiffeisen Bank International (RBIV.VI) for lapses in its money laundering controls, the country’s Financial Market Authority said on Friday, imposing a record fine of just over 2 million euros ($2.1 million).

The penalty, the biggest ever to be awarded by regulators in Austria, was handed out after failings were found in RBI’s money laundering and terror financing checks on two banks it was dealing with, the regulators said, without naming the banks or the countries where they were based.

A person with direct knowledge of the matter said the banks in question were based in Cuba and Bahrain.

The punishment, albeit minor compared to penalties that could be imposed, further tarnishes Raiffeisen’s image which has been under pressure for continuing to do business in Russia when Western peers have severed ties.

Read full report: https://www.reuters.com/business/finance/austrian-regulators-fine-raiffeisen-money-laundering-lapses-2024-06-28/