Pedestrians walk at the entrance to the Lombard Odier in Geneva, Switzerland.
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Lombard Odier, one of Switzerland’s oldest private banks, has been charged by Swiss prosecutors with aggravated money laundering.
Lombard Odier and a former bank employee were indicted in the Swiss Federal Criminal Court on Tuesday, the Office of the Attorney General (OAG) of Switzerland said in a statement Friday.
The OAG said the defendants helped conceal the proceeds of a criminal organization founded by Gulnara Karimova, the daughter of Uzbekistan’s authoritarian president Islam Karimov, who died of a stroke in 2016. Karimova was indicted by the Attorney General in 2023 on the following charges: Money laundering as a result of criminal activity taking place in Switzerland between 2005 and 2012.
“The investigation led the OAG to believe that some of the money laundered in Switzerland may have been transferred to Lombard Odier’s bank account in Geneva. The bank and one of its former relationship managers are believed to have played a decisive role in the incident,” the OAG said in a statement. It was revealed that the proceeds from the criminal activities of ‘The Office’ were concealed.
Prosecutors added that they have been investigating them since 2016.
Lombard Odier, dating back to 1796, denied these claims.
“We have taken note of the decision by the Office of the Attorney General of Switzerland to prosecute the bank for lack of control,” the bank said in a statement Friday.
“This action follows the launch of a formal investigation into the bank that began and became public in 2016. From the bank’s perspective, these allegations are baseless and without merit. The bank plans to defend itself vigorously.”
The bank said the incident was triggered by Lombard Odier’s “proactive reporting of suspicions to Swiss authorities.”
CNBC reached out to Gregoire Mangeat, who has represented Karimova in her legal battle with Swiss authorities. Karimova is currently serving a prison sentence in Uzbekistan.
