The Swedish Financial Supervisory Authority (FI) issues Ikano Bank AB (Ikano) a remark and an administrative fine of 140 million kronor for violations of anti–money laundering regulations.
Ikano Bank AB (Ikano or the bank) has authorisation to conduct banking business in accordance with the Banking and Financing Business Act (2004:297). Pursuant to its authorisation, the bank offers, among other things, loans, deposit accounts, invoice purchases, factoring, and leasing.
Finansinspektionen has investigated in part Ikano’s compliance with the provisions of the Anti-Money Laundering and Counter-Terrorist Financing Act (2017:630) governing measures against money laundering and terrorist financing. The investigation shows that the bank has been in violation of several of these provisions. With regard to the general risk assessment, Ikano has not conducted a separate, comprehensive and realistic assessment of how the products it offers to corporate clients could be misused for terrorist financing and the extent of the risks of this occurring. Neither has the bank considered risk factors that have a clear link to such corporate customers of the bank. Ikano also has not considered information from authorities about risks and methods of money laundering and terrorist financing in the required manner in a general risk assessment. Due to these deficiencies, Ikano has also not designed the general risk assessment so it can serve as a basis for the bank’s procedures, guidelines and other measures to prevent money laundering and terrorist financing.
Finansinspektionen furthermore notes that Ikano also has not implemented the enhanced customer due diligence measures necessary to gain adequate knowledge about customers associated with a high risk of money laundering and terrorist financing.
There are no grounds on which to refrain from intervening against Ikano. The violations are not so serious that there is cause to consider withdrawing the bank’s authorisation or issuing the bank a warning. Finansinspektionen is therefore issuing Ikano a remark that, in order to be an adequate intervention, will be accompanied by an administrative fine of SEK 140 million.
