Credit Switzerland’s money laundering charges

The Swiss prosecutor has filed a lawsuit against the country’s second-largest bank for failing to crack down on money laundering related to drug trafficking by the Bulgarian criminal syndicate.

According to a statement from the Swiss Attorney General’s Office, Credit Suisse has been accused of failing to take all reasonable and necessary organizational measures to prevent money laundering of assets owned and controlled by this criminal organization.

The criminal cartel, allegedly set up by a top Bulgarian wrestler, has been involved in the international sale of cocaine and widespread money laundering. Cash from drug trafficking has been used to buy real estate in Switzerland and Bulgaria.

According to the prosecutor’s office, the proceeds went to bank accounts controlled by the criminal cartel from 2004 to 2007. The methods of opening and monitoring accounts by employees and superiors of Swiss Credit do not comply with existing anti-money laundering regulations as well as the bank’s internal instructions.

The indictments against the former director of Credit Suisse and two members of the criminal organization came after a 12-year investigation. The Zurich-based lender bank denied the allegations.

Credit Suisse said it was confident the former employee was innocent, adding that the bank denies allegations of possible organizational flaws and intends to defend itself vigorously.