A pedestrian walks past the entrance of the Longau Group in Geneva, Switzerland.
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Lombard Odier, one of Switzerland’s oldest private banks, has been accused by Swiss prosecutors of “serious money laundering”.
The Swiss Federal Criminal Court indicted Lombard Odier and a former employee of the bank on Tuesday, the Swiss Attorney General’s Office (OAG) said in a press release on Friday.
The defendants allegedly helped conceal proceeds from a criminal organization founded by Gulnara Karimova, the daughter of Uzbekistan’s authoritarian president Islam Karimov, who in 2016 Died due to stroke. Karimova was indicted by the Prosecutor General in 2023 on charges of money laundering stemming from criminal activities carried out in Switzerland between 2005 and 2012.
“The investigation led the OAG to believe that some of the funds laundered in Switzerland may have been transferred to the bank account of Lombard Odier in Geneva. The bank and one of its former relationship managers are said to have played a decisive role in the incident.” Concealed’ Office ‘Proceeds of criminal activity,’ the OAG said in a statement.
Prosecutors added that they had been under investigation since 2016.
Lombard Odier, who dates back to 1796, denies the accusations.
“We note the decision of the Swiss Attorney General’s Office to press charges against the bank for insufficient controls,” the bank said in a statement on Friday.
“This action follows the launch of a formal investigation launched and made public against the bank in 2016. For the bank, the allegations are baseless and without merit. The bank plans to vigorously defend itself.”
The bank added that the case was initiated by Lon O Group “proactively reporting suspicious circumstances to the Swiss authorities”.
CNBC contacted Gregoire Mangeat, who represents Karimova in her legal battle with Swiss authorities. Karimova is currently serving her sentence in an Uzbek prison.
