The Swedish and Estonian Financial Supervision and Resolution Authorities have completed a parallel investigation that found serious anti-money-laundering (AML) deficiencies and regulatory misconduct at Swedbank between 2015 and the first quarter of 2019, and they have issued a warning, guidelines, and a Swedish krona 4 billion fine. The law firm the bank appointed to conduct an independent investigation also presented its results, and it concluded that Swedbank's management failed to establish a clear and effective AML risk framework in 2007-2019. During 2019, Swedbank replaced much of its top management, limited the reputational impact on its franchise, and expressed its commitment to amend the deficiencies in control and governance. However, in our view, these changes will take time to implement and
