A top executive of the Swiss bank’s holding stepped down after he was indicted in the U.S. The bank views itself shielded from prosecution by a 2015 penalty deal.
The top executive is leaving Ihag’s holding entity, effective immediately, after he was named one of six individuals charged overnight in an opaque scheme to shift assets out of Switzerland amid a tax crackdown. Identified as D.W. in a statement emailed by Ihag on Wednesday, this likely refers to a Swiss man who was indicted on Tuesday for conspiring to commit tax fraud.
Though he enjoys the presumption of innocence, D.W. had laid down his duties at Ihag, the holding company, to protect the firm, the holding company said. He was one of four top executives under owner-CEO Gratian Anda.
Catering To Leavers
Ihag said neither its holding nor the bank itself is affected by the indictment of six including its deputy CEO until last week, Peter Rueegg. They are accused of conspiring to help so-called leavers, or clients who were being told by other banks such as UBS to close out their undeclared Swiss accounts, to move assets out of Switzerland and keep them hidden from tax.
The bank had in 2015 clinched a non-prosecution agreement for its past wrong-doings with wealthy Americans, meaning it will not face charges, it said. It is nevertheless an ugly blow for 72-year-old Ihag, which was founded by industrialist and arms manufacturer Emil Georg Buehrle.
Attempted Revamp
Anda, Buehrle's grandson, holds about 80 percent of the shares, while his cousin, Carol Franz-Buehrle, owns about 20 percent.
The bank hired Falcon’s former CEO Martin Keller this year in an attempt to mount a rejuvenation. The 3.14 billion Swiss franc ($3.38 billion) wealth manager is cutting jobs after its net loss last year widened.
