American officials have swooped in the scandal surrounding Venezuelan oil company PDVSA. One of the people arrested is a former Julius Baer banker.
Matthias Krull (pictured, left), Julius Baer's ex-vice-chairman in Panama, was arrested overnight in Miami, according to a statement from the U.S. Department of Justice. He is accused of being part of a scheme to launder $1.2 billion in corrupt funds linked to Venezuelan state-controlled oil firm PDVSA.
Krull left Julius Baer recently for Genevan private bank Gonet in the Bahamas. The German-born, Caracas-schooled banker was known as an «onboarding star» for Latin America at Julius Baer: he always ensured buoyant net new money and enjoyed cozy ties to Venezuela's rich and powerful.
Julius Baer's Problem
finews.com reported last month that Krull had countless so-called PEPs, or politically exposed people, in his client book, and that Julius Baer had run into regulatory trouble with Venezuelan funds. Switzerland's financial regulator opened a probe into corruption at state-backed oil firm PDVSA in February in relation to several Swiss banks – Julius Baer apparently among them.
The Zurich-based bank wasn't immediately available for comment. Besides Krull, a Colombian citizen was also arrested, and seven more are being sought.
More to follow
