The former boss of retail lender Raiffeisen is under investigation by Switzerland's banking regulator. It is an ignominious culmination of a 38-year Swiss banking career.
«I was told by Finma on November 1 that an enforcement proceeding over my handling of conflicts of interests is being conducted against me as part of a proceeding against Raiffeisen Switzerland,» Pierin Vincenz said in a statement late on Sunday.
Until earlier this year, Vincenz was chairman of troubled derivatives boutique Leonteq, but his legacy is nearly 20-year career at Raiffeisen, Switzerland's biggest mortgage lender – most of it as Chief Executive.
Vincenz didn't detail the potential conflicts in his statement, and Finma – which normally does not comment on enforcement procedures against bankers until they are concluded – did not comment publicly.
Pillow Talk?
For many years, Vincenz worked alongside his wife, Nadja Ceregato, Raiffeisen's chief counsel. Swiss media have speculated that Vincenz's and Ceregato's professional and personal closeness could have raised Finma's ire. If so, it is not clear why the Swiss regulator did not step in earlier.
Enforcement proceedings are Finma's only way of sanctioning bankers; the regulator has gotten far punchier about naming and shaming bankers than in the past – including in several high-profile money-laundering probes.
Ceregato (pictured above) is still Raiffeisen's chief legal and compliance officer, and part of the bank's top management for the last two years.
«I'm of the opinion that I handled potential conflicts with the necessary care, and have ensured Finma my full support for their investigation,» Vincenz said.
Copious Acquirer
The former Raiffeisen CEO was rather successful developing the cooperative bank into something rather more substantial – today, Raiffeisen is the third-largest banking group behind the two big banks UBS and Credit Suisse.
Vincenz pounced four years ago when Wegelin & Cie collapsed under the weight of an U.S. indictment. Raiffeisen snapped up the private bank's non-toxic business and created Notenstein private bank, later Notenstein La Roche.
Vincenz also added stakes in Leonteq (almost 30 percent), insurer Helvetia insurance company (4 percent) and Avaloq (10 percent), a banking software firm, with mixed results as finews.com has previously reported.
