Print Magazine
Brussels Morning Newspaper
Sunday, October 1, 2023
No Result
View All Result
  • Home
    • About Us
  • EU institutions
    • Commission
    • Parliament
    • Council
  • Europe
  • World
  • Economy
  • Culture and Society
  • In Depth
    • Ambassador’s Corner
    • The American Angle
    • Sustainable Perspective
    • Europe With Transparency
    • Place de la Bourse
    • The Macro-Economist
    • Southeast Europe
Brussels Morning Newspaper
  • Home
    • About Us
  • EU institutions
    • Commission
    • Parliament
    • Council
  • Europe
  • World
  • Economy
  • Culture and Society
  • In Depth
    • Ambassador’s Corner
    • The American Angle
    • Sustainable Perspective
    • Europe With Transparency
    • Place de la Bourse
    • The Macro-Economist
    • Southeast Europe
Brussels Morning Newspaper
No Result
View All Result
Home Europe

German prosecutors raid Finance Ministry in money laundering investigation

Ivan Fischer by Ivan Fischer
10 September 2021
in Europe
German prosecutors raid Finance Ministry in money laundering investigation
Share on FacebookShare on Twitter

Brussels (Brussels Morning) German federal prosecutors raided the offices of the ministries of finance and justice on Thursday, as part of a probe into the government’s Financial Intelligence Unit (FIU).

The FIU is suspected of having ignored tip-offs about possible money laundering activities, with the prosecutors claiming they received complaints about the money-laundering agency failing to act on suspect transactions totalling millions of euro. The transactions reportedly took place between a variety of locations, including African countries, between 2018 and 2020.

The raid comes at an inopportune moment for the Finance Minister Olaf Scholz, Social Democrats (SPD) candidate for chancellor in the upcoming 26 September federal elections. While polls have recently placed SPD as the strongest party, and Scholz is regularly polling as the most popular option to succeed Chancellor Angela Merkel, the latest incident could represent a significant setback.

Scholz already faced grilling by the lawmakers over his ministry’s role in the collapse of the Wirecard fintech company, with critics claiming the country’s financial watchdog, BaFin, failed to pick up on the fraudulent activities of Wirecard. 

Wirecard, once regarded as a German success story in the burgeoning field of financial technologies, collapsed in June 2020 after admitting that 1.9 billion euro supposedly held in trust accounts did not actually exist. Company CEO Markus Braun is standing trial for financial fraud, while a Bundestag inquiry probed the responsibility of Scholz and BaFin.

FIU is tasked with collecting and analysing tips and reports of suspected money laundering, and forwarding them to relevant authorities if they are found to be credible. Since 2017, it’s a part of the Customs Authority, under the purview of the Finance Ministry, having been transferred from the Interior Ministry’s control. Some critics claimed this move has made the agency more reliant on less experienced staff.

Even though Scholz tripled the agency’s staff, it is still struggling with a heavy workload, receiving more than 140,000 reports in 2020, more than ten times what it was receiving a decade ago. Every tip needs to be examined and processed, and critics claim the agency is barely coping with a huge backlog of reports.

Tags: Europe-FeatureMain-Slider
Follow Brussels Morning
Facebook Twitter Youtube Linkedin

About Us

Brussels Morning is a daily online newspaper based in Belgium. BM publishes unique and independent coverage on international and European affairs. With a Europe-wide perspective, BM covers policies and politics of the EU, significant Member State developments, and looks at the international agenda with a European perspective.

More Info

  • About Us
  • Advertising
  • Cookie Policy
  • Contact Us
  • FAQ
  • Jobs

Categories

  • Belgium News
  • Brussels
  • Culture and Society
  • Economy
  • EU Institutions
  • Commission
  • Council
  • Parliament
  • Europe
  • Features
  • Health & Fitness
  • In Depth
  • Ambassador’s Corner
  • Europe With Transparency
  • Place de la Bourse
  • Southeast Europe
  • Sustainable Perspective
  • The American Angle
  • The Macro-Economist
  • Member States
  • Opinion
  • Our pick
  • Uncategorised
  • World
  • Diplomacy
  • Middle East Eye
  • US Elections
  • Join Our Newsletter

    Brussels Morning Newspaper – All Rights Reserved © 2020

    No Result
    View All Result
    • Home
    • About Us
    • Brussels Bubble
      • Parliament
      • Commission
      • Council
    • Wider Europe
      • Member States
    • World
    • Business & Society
    • Europe With Transparency
    • Culture & Society
    • Policy Talks
      • Place de la Bourse
      • The Macro-Economist
      • Sustainable Perspective
      • Ambassador’s Corner
      • The American Angle
      • Southeast Europe
    • Print Magazine

    Brussels Morning Newspaper - All Rights Reserved © 2020

    We use cookies on our website to give you the most relevant experience by remembering your preferences and repeat visits. By clicking “Accept”, you consent to the use of ALL the cookies.
    Cookie settingsACCEPT
    Privacy & Cookies Policy

    Privacy Overview

    This website uses cookies to improve your experience while you navigate through the website. Out of these cookies, the cookies that are categorized as necessary are stored on your browser as they are essential for the working of basic functionalities of the website. We also use third-party cookies that help us analyze and understand how you use this website. These cookies will be stored in your browser only with your consent. You also have the option to opt-out of these cookies. But opting out of some of these cookies may have an effect on your browsing experience.
    Necessary
    Always Enabled
    Necessary cookies are absolutely essential for the website to function properly. This category only includes cookies that ensures basic functionalities and security features of the website. These cookies do not store any personal information.
    Non-necessary
    Any cookies that may not be particularly necessary for the website to function and is used specifically to collect user personal data via analytics, ads, other embedded contents are termed as non-necessary cookies. It is mandatory to procure user consent prior to running these cookies on your website.
    SAVE & ACCEPT