The Deutsche Bank AG (NYSE:DB) announced that it has identified $4 billion in suspicious activities that are linked directly to Russian operations. An additional $6 billion in mirror trades are also being examined.
The $10 billion total is expected to be related to money laundering, as many individuals are moving money out of Russia.
Germany’s largest lender has been investigating the Russian discrepancies since September and has shared its findings with international authorities. The United States is currently investigating the bank to determine if US anti-money laundering rules were violated in respects to the mirror trades that occurred.
The Deutsche Bank was fined by Russia’s central bank, but the United States Justice Department has continued to investigate trades in Russia.
Many activities from Deutsche Bank have caused international scrutiny against the company. The bank spent over $2.75 billion in 2015 to settle a claim for the United States over sanctioned law violation and to satisfy claims that the company rigged the benchmark interest rates by Britain.
The bank first started reviewing its Russian operations in June, and the review was picked up quickly by the news because the company was investigating mirror trades that date back several years. The bank announced that they have increased their litigation reserves by €1.2 billion in an attempt to cover any costs for possible liabilities stemming from the company’s Russian operation.