HSBC’s Swiss Private Bank Under Scrutiny for Alleged Money Laundering

Created by SwapED in News 1 Aug 2025

Swiss and French authorities have launched a preliminary investigation into HSBC’s private banking arm in Switzerland, focusing on $300 million in suspicious transactions linked to two historical high-risk relationships, including politically exposed persons (PEPs). The bank has admitted that the outcome could have a “significant” operational impact, though the resolution remains uncertain.

This follows Finma’s prior findings that HSBC had failed to adequately vet high-risk accounts, resulting in serious AML compliance breaches. The case adds to growing regulatory pressure on global banks and highlights persistent vulnerabilities in cross-border private banking and PEP risk management.

Sources:

HSBC investigated by law enforcement in Switzerland, France over alleged money laundering - The Banker

HSBC Swiss private bank faces probe over money laundering