A dozen Swiss banks are still waiting to settle a U.S. criminal probe into help tax dodgers and cheats. One is poised to ink a settlement, two sources told finews.com.
U.S. prosecutors have told NBP Neue Privat Bank that the Zurich-based bank will be able to settle a criminal probe into offshore banking for wealthy Americans by paying a million-dollar fine, two sources told finews.com. In doing so, the bank will avoid being prosecuted in court.
The move means renewed momentum for a years-long tussle between Swiss banks and American officials which began with a criminal investigation into a first group of banks including UBS, Credit Suisse, Pictet and others. That probe eventually caught up with the entire Swiss banking industry, which succumbed to an U.S. voluntary disclosure program.
«It's now the turn of banks in category 1,» a source familiar with the matter said, referring to the original group of banks charged years ago by Department of Justice officials.
U.S. Deal Imminent
NPB will pay a $5 million for a so-called non-prosecution agreement, two sources told finews.com. A spokesman for NPB confirmed the bank's DOJ settlement to finews.com: «We assume that we will be able to settle the matter shortly.»
The wasn't originally in the first category, but dropped into the group in 2013 when U.S. prosecutors opened a criminal probe. The DOJ hasn't publicly detailed the charges against NPB until now.
Cooperate, Keep Nose Clean
This means the bank is largely off the hook with U.S. prosecutors – the same procedure as with some 80 Swiss banks in the second category under the industry-wide agreement – provided it keeps cooperating in the future and keeps its nose clean.
This sets NPB apart from other so-called category 1 banks like Credit Suisse and Julius Baer, which were forced into deferred prosecution agreements, or settlements with deadlines and conditions attached.
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