FBME Bank has formally replied to allegations from US Treasury Department.
The Cyprus Central Bank took over administration of FBME in July, after a US Treasury report described the bank as of ‘primary money laundering concern’.
The response states that the forensic accountants (Ernst and Young) observed that the bank’s procedures “incorporates the requirements” of the relevant laws.
Ernst and Young’s assessment further reported that FBME has “protocols in place to allow the Bank to continuously keep the programme aligned with the legal requirements”. FBME restated its commitment to continuing to cooperate with the governments of the US, Cyprus and Tanzania in the fight against money laundering and terrorist financing.
The submission of the full forensics report is expected to take place over the next few days. Treasury Department has 60 days to make its response.
FBME is seeking a change of policy on the part of the Central Bank of Cyprus and wants to see the rescinding of the Resolution measures on the Cyprus branch, to allow depositors to have access to their funds on a proper basis, and to abandon ideas of an expropriation and sale of the Cyprus branch.