Bank Julius Baer & Co. Ltd., Singapore Branch

FINMA concludes enforcement proceeding: serious credit risk management failings (private debt loans to a European group) and AML breaches (two Russian PEP client groups)

FINMA found serious shortcomings in credit risk management around private debt loans to an unnamed European group and its founder, including a CHF 586 million exposure write-down, and serious AML breaches in relationships with two Russian PEPs. It ordered culture reporting until 2032, a CHF 250 million capital add-on until certain assets are divested, prior approval of dividends, and confiscation of around CHF 10 million. FINMA states the ruling is not yet legally binding and that this is its fifth enforcement proceeding against the bank in under ten years.

This decision concerns Bank Julius Bär & Co.

Bank redefined risk appetite, discontinued private debt business, reduced lending, overhauled remuneration and governance (per FINMA).

Composition penalty for AML/CFT breaches found in examinations after the 2023 money laundering case

MAS imposed a S$2.4 million composition penalty on Bank Julius Baer & Co. Ltd., Singapore Branch, one of nine FIs penalised after examinations from early 2023 to early 2025. MAS named the branch among FIs with inadequate customer risk assessment, inadequate follow-up on source of wealth discrepancies, and inadequate review of transactions flagged by their systems.

Five of the FIs (BJBS, BOIPL, Citi, CSSB, UOBKH) failed to implement adequate policies or processes

MAS said the institutions have embarked on remediation and it will monitor progress.

Deferred prosecution agreement, conspiracy to launder over USD 36 million in FIFA-related bribes

Bank Julius Baer & Co. Ltd. admitted in federal court in Brooklyn that it conspired to launder over USD 36 million in bribes connected to FIFA and entered a three-year DPA, paying a USD 43.32 million fine and USD 36.37 million forfeiture. The the US Department of Justice gave some credit for remediation of its compliance program.

This decision concerns Bank Julius Bär & Co.

has admitted today in federal court in Brooklyn that it conspired to launder over $36 million in bribes

The US Department of Justice: the bank received some credit for its significant effort to remediate its compliance program.

Serious AML failings at Julius Baer (PDVSA and FIFA related, 2009 to early 2018)

FINMA found that Julius Baer fell significantly short in combating money laundering between 2009 and early 2018 in connection with alleged corruption involving PDVSA and FIFA. It ordered risk containment for high-risk client advisers, remuneration and disciplinary changes, a board conduct and compliance committee, a ban on major acquisitions until compliant, and an independent auditor. it does not state appeal status.

This decision concerns Bank Julius Bär & Co.

Julius Baer fell significantly short in combating money laundering between 2009 and early 2018.

Measures ordered as listed; independent auditor appointed by FINMA.

Deferred prosecution agreement, conspiracy to help US taxpayers evade taxes

Bank Julius Baer was charged in the Southern District of New York and entered a DPA under which it admitted knowingly assisting many US taxpayer clients to evade their tax obligations and agreed to pay USD 547 million. Prosecution was deferred for three years with dismissal to be sought afterwards.

This decision concerns Bank Julius Bär & Co.

The agreement requires Julius Baer to pay a total of $547 million by no later than Feb. 9, 2016