The Danish FSA continues its Panama investigations

The investigations into Danish banks' involvement in tax evasion continues. According to a status report on the case, the Danish FSA is considering targeted on-site inspections at some banks.

Banks play an important role in ensuring that the financial system is not abused for illicit purposes, such as money laundering.

 

In mid-April - shortly after the “Panama papers” leak - the Danish FSA asked eight banks to account for a number of matters related to possible involvement in tax evasion by their customers. Initially, the Danish FSA received information which in some respects was of a very general nature. The Danish FSA has therefore asked for more detailed explanations.

 

The Danish FSA is currently reviewing these explanations from the banks. In parallel with this review, the Danish FSA will assess the need for targeted on-site inspections at some banks.

 

The preliminary assessment is that the banks themselves have not had the required and desired overview. However, on the basis of the information available, involvement of Danish banks in the “Panama papers” or other similar constructions relating to tax evasion, generally seems to be limited.

 

If Danish banks have been involved in tax evasion by their customers, this may contravene the Money Laundering Act and the requirement that banks must have an effective form of corporate management.

 

Read the status report (PDF)