• US Department Of Justice (DOJ) is investigating two Swiss financial firms, Credit Suisse Group AG and UBS Group AG, to check if they helped Russian users evade implied sanctions.
• The DOJ has issued subpoenas to these banking firms requesting information.
• BNP Paribas paid $9 billion in fines for processing transactions with sanctioned areas including Iran, Sudan, and Cuba.
Russia Invades Ukraine
Following Russia’s invasion of Ukraine, the US Department Of Justice (DOJ) has been applying sanctions to stop financial institutions from facilitating Russian residents.
US Investigates Financial Firms
In its recent actions, many financial firms, including crypto companies, have faced legal action by US authorities resulting in hefty fines. This time, DOJ is investigating two Swiss financial firms, Credit Suisse Group AG and UBS Group AG, to check whether the financial channels helped Russian users evade implied sanctions. According to Bloomberg, the US authority recently issued subpoenas (a court order asking someone to appear in court) to these banking firms requesting information.
Credit Suisse Served Russians At Its Best Before War
Before the war between Ukraine and Russia started, Credit Suisse was known to be a reputable platform serving Russians. Notably, when it was at its peak of success, the Swiss Bank earned between $500 million to $600 million in a year from Russian users by managing around $60 billion in assets. And when the Swiss financial firm Credit Suisse closed its operations with Russia in May 2022, it was holding above $33 billion from Russian individuals. The firm managed a large division of wealth compared to its competitor UBS having less than 50% of these funds.
BNP Paribas Pleaded Guilty To Charges