INTERVIEW - The Finma boss defends the handling of the MBaer money laundering scandal: 'It takes time to prove suspicious patterns at a bank'

The Neue Zürcher Zeitung (NZZ) features an interview with FINMA CEO Stefan Walter, who addresses criticism regarding the Swiss Financial Market Supervisory Authority's handling of the MBaer money laundering scandal. Walter defends FINMA's approach, emphasizing that uncovering complex financial irregularities within a bank is a time-consuming process. He explains that FINMA progressively intensified its oversight of MBaer, escalating measures as more serious issues within the bank's business model and leadership emerged. Walter clarifies that while FINMA had already decided to revoke MBaer's license, the bank's appeal to the Federal Administrative Court temporarily halted this action. He notes that the US Treasury's subsequent actions significantly damaged MBaer's reputation, leading the bank to withdraw its appeal and allowing FINMA to finalize the license revocation. Walter stresses the importance of international cooperation among regulatory bodies but maintains that each authority performs its own duties independently. The interview reflects a Swiss perspective on financial regulation, highlighting the challenges of timely intervention in complex cases and the interplay between national and international regulatory efforts.

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It takes time to prove suspicious patterns at a bank.