Nordic giant bank, state owned Nordea accused on helping African dictatorship
Tuesday, 17 September 2013
The Nordic regions biggest bank and part state owned, Nordea has been
accused of assisting an African dictatorship transfer and hide wealth
in their bank branches.
Reports from Swedish news sources talk of Nordea allowing Eritrean
government to use a Swedish common banking payment system called plus
giro to collect taxes from their system, something the UN believes is
illegal. The regime is also said to be linked according to a new
report, to both terror related activities and arms trafficking.
According to the news report in which the Swedish news agency TT said
many of its sources indicate that the Eritrean Embassy in Stockholm
have used a specific plus giro based in Nordea for many years and at
least as late as last spring.
Recently, a United Nations report pointed to the Eritrean dictatorship
to have a clear ties with al-Qaida-linked terror organisation,
Al-Shabaab and also that the country has been dealing in arms
trafficking, in violation of a UN resolution.
Nordea is expected to work with "great integrity and high ethical
awareness. We also take strong measures to fight crime," the bank's
Code of Conduct said.
This spring, however, the bank was fined Skr30 million because the
Swedish FSA found that, contrary to the law, the bank could not
answer whether many of its customers contributed to financially to
terrorist organisations or were dealing with money laundering. The
information now raises new questions about Nordea's risk assessment
A search at Nordea plusgiro account ownership system shows that
the Eritrean embassy had six such accounts, including that which the
Swedish-Eritrean have been complaining and reported about. Those who
talked however have failed to give their identities for fear of
reprisals either here or on their families back home. That is the price
one is expected to pay when they criticise and expose a dictatorship in
the west these days.
Nordea is said to have reacted to the allegation by remaining mute but
reports suggest that the usage of the account by the Eritrean
authorities has apparently been persisting unperturbed.
"We can not and will not comment on any business with a potential
customers we have. We comply with the laws and regulations arising from
EU directives in the field and acts in accordance with the terms the
sanction of the UN and the EU demands, "the press secretary Erik Durhan
said according to media reports.
The Financial Supervisory Authority (FI) may not, prior to any
decision, say if it will take any action on individual cases in
relations to Nordea and Eritrean embassy. Head of Unit, Per Wenna
pointed out that, despite UN sanctions against Eritrea, there is no
absolute prohibition against doing business with private companies or
"By contrast, money laundering regulatory requirements is to counter
the risk that activaties used for money laundering or terrorist
financing, "he says.
The Swedish FSA is reviewing right now the biggest Swedish banks and
their handling in high-risk conditions relating to money laundering and
By Scancomark.com Team
Did you spot any error(s) or had any problem with the above article. Please contact us