German watchdog taking over Goldman Sachs

Germany's financial watchdog has ordered Goldman Sachs' European arm to comply with rules to prevent money laundering and terrorist financing, Report informs referring to Reuters.

The watchdog, BaFin, said it had asked Goldman Sachs to comply with due diligence obligations regarding customers and risk analysis requirements under Germany's anti-money laundering laws.

Goldman Sachs said in a statement that BaFin’s order followed an audit undertaken by BaFin in 2020. "The required implementation is already underway," the bank said.

People familiar with the matter said Goldman Sachs had not fully complied with German know-your-customer standards when transferring British customers to Germany.

The data on the transferred customers did not always provide sufficient clarity on which persons were linked to certain accounts, the people said.