Commerzbank, the second largest lender on the German market, will pay US authorities $1.45bn in penalties for violating sanctions against businesses in Sudan and Iran as well as money laundering charges on behalf of the Japanese optics manufacturer Olympus.
Martin Blessing, Commerzbank’s chief executive, said the lender is taking the violations “very seriously” and intends to make “changes to our systems, training and personnel to address the deficiencies identified by US and New York authorities.”
Benjamin Lawsky, the superintendent of New York’s Department of Financial Services (DFS), said bank employees “sought to alter the bank’s transaction monitoring system so that it would create fewer ‘red flag’ alerts about potential misconduct”, highlighting “a potential broader problem in the banking industry.”
