U.S. congressional auditors have identified possible malfunctions in Deutsche Bank money laundering controls in its dealings with Russian oligarchs after the lender handed over transaction records, emails, and other paperwork, three individuals familiar with the matter mentioned.
The congressional probe found instances where Deutsche Bank employees in the US and elsewhere signaled concerns about new Russian clients and transactions involving existing ones; however, were ignored by managers, two of the people stated.
Legislators are additionally examining whether or not Deutsche Bank helped the funneling of illegal funds into the US as a correspondent bank, where it processes transactions for others, one of many sources said.
The congressional inquiry, whose initial findings haven’t been previously reported, is at an early stage, and it’s not yet clear whether it will result in any action against the financial institution, the three sources said.
A Deutsche Bank spokesperson, Troy Gravitt, said the lender could not comment on the work of the congressional representatives; however, stays committed to cooperating with authorized probes.
The House of Representatives Financial Services Committee refused to comment.
The Democrat-controlled House started examining possible money laundering in U.S. property contracts involving Republican President Donald Trump earlier this year. The legislators are further looking into whether Trump’s transactions left him subject to the influence of foreign individuals or powers.
The White House and a Trump Organization spokesperson, Amanda Miller, didn’t respond to requests for comment.
Deutsche Bank has been drawn into the probe as Trump’s most prominent lender and submitted paperwork to investigators in response to a warrant.