Swiss Court Upholds Convictions of Ex-Gazprombank Employees

The Swiss Federal Supreme Court has upheld the convictions of four former employees of Gazprombank Switzerland for failing to exercise due diligence in financial transactions. The case involved the registration of Russian cellist Sergei Roldugin as the beneficial owner of funds in accounts opened by two foreign companies in 2014.

Despite several red flags, the employees did not sufficiently investigate whether Roldugin was indeed the beneficial owner, as required by Swiss anti-money laundering regulations. In June 2024, the Zurich High Court sentenced the individuals—three Russian nationals and one Swiss citizen—to conditional fines. The CEO received the maximum daily fine of CHF 3,000, while the others were fined between CHF 350 and CHF 500.

The Federal Supreme Court's decision reinforces the importance of stringent compliance with anti-money laundering laws and the responsibilities of financial institutions to verify the legitimacy of their clients' financial activities. This ruling serves as a reminder of the legal obligations financial professionals have in preventing illicit financial flows.