Another bank linked to money laundering and hacking

Take note – story published 8 years ago

Another Latvian bank is in trouble over allegations of large-scale money laundering.

This time the financial institution in the frame is Trasta Komercbanka, which has frequently been linked to various schemes (which it as frequently denies involvement with).

According to the Brussels Times, Trasta is implicated in the laundering of at least €300,000 as part of a fraud that saw €1.7 million sucked out of Franco-Belgian bank Dexia.

"It is very rare for a bank to be implicated and tried in a hacking case. The trial will not start until some time next year," says the Brussels Times.

The timing of the news from Europe's de facto capital could not be worse for Latvia's financial regulator, the Financial and Capital Markets Commission (FKTK).

FKTK chairman Kristaps Zakulis was given a rough ride by a parliamentary committee Tuesday morning amid fears that Latvia's bid for OECD membership is at stake unless the country can convince other OECD members that its financial system is not routinely used to launder massive amounts of criminal money from Russia and to enable tax avoidance.

As previously reported, FKTK on December 11 and 14 announced record-breaking fines for the Latvian arm of Ukraine's PrivatBank after it too was suspected of aiding and abetting money laundering.


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