According to a press statement, Falcon Private Bank said “the withdrawal of the Singapore banking license is regrettable and disappointing” but the MAS’ decision on Tuesday “will not impact the strategic development of the Bank”.
The Swiss bank added that it is in “close contact with employees, clients and partners” and is “committed to finding optimal solutions for all parties involved and guaranteeing an orderly wind down of the Singapore operation”.
The statement from Falcon Private Bank added that the completion of the investigations “finally resolves the 1MDB topic for the Bank with the regulators”. It said that it has worked on enhancing its compliance, invested in additional resources as well as reviewed the bank’s organisational setup and relevant processes since 2013.
Left unsaid is the fate of the USD 620 million “returned” by Malaysia’s PM Najib to Tanore Finance Ltd (see graphic above from Sarawak Report).
The Swiss AG has made clear that Falcon managed that money:
Falcon also failed to adequately investigate the commercial background to pass-through transactions amounting to USD 681 million and the repayment six months later of USD 620 million via these accounts despite conflicting evidence.
In this context, an internal Falcon email states:”We started this six months ago and now we have to go through with it – somehow”.
If that USD 620 million “passed through” , where is it? If Falcon cannot account for its whereabouts , should not Falcon be sued for the recovery of that money?