(December 7 – 12:25 ET) – Credit Suisse has become the first bank indicted in the US$4 billion Nigerian money laundering scandal, The Financial Times is reporting.

Credit Suisse confirmed to FT that the Swiss Federal Banking Commission, Switzerland’s banking regulator, has filed a complaint to the Swiss Bankers’ Association. Allegedly, over US$214 million was accepted by its private banking division on deposit from two sons of Nigerian General Sani Abacha. He was the country’s former leader and has been accused of socking away a fortune in Swiss banks.

The Commission could fine the bank up to 10 million Swiss francs — about US$5.9 million. Back in September, the Commission cited six banks, including Credit Suisse, for failing to display “necessary diligence” in accepting deposits from Abacha sources.

FT says Credit Suisse had the largest exposure of any Swiss bank and was not surprised that the case had been referred to the regulator. It froze its Abacha-related accounts in March 1999.

Britain’s Fraud Office is investigating several UK-based banks over their role in handling another US$950 million in Abacha booty.

In the wake of the scandal, Credit Suisse and 10 other global banking giants adopted new voluntary anti-money laundering guidelines aimed at the private client business.
-IE Staff