Investigations in the financial sector

DLA Piper is your reliable partner when dealing with regulatory and enforcement risks. We see ourselvesas a strategic advisor who can help you navigate even the most challenging situations you face inconnection with increasing supervision and investigations by prudential supervisors such as the FederalFinancial Supervisory Authority (BaFin), the European Central Bank and Public Prosecutor’s Offices.

We are seeing an increasing number of supervisory investigationsas well as investigations by Public Prosecutor’s Offices on banking,financial services and other regulated market participants.Supervisors are obliged to conduct regular audits taking intoaccount the risk position of an institution as well as ad hoc auditsin case of compliance incidents.

In addition, due to more stringent regulatory provisions,particularly in relation to market manipulation, insider trading,money laundering, terrorism financing, general and tax fraud,we are seeing an increased number of joint investigations by theBaFin and the Public Prosecutor’s Office.

Both German and also foreign Public Prosecutor’s Offices andsupervisory authorities conduct investigations, sometimes jointly,into institutions and their boards and employees.

Our expertise includes:

• Support with special audits in accordance with § 44 German Banking Act (KWG), including witness assistance for interviewed employees,
• Handling of compliance incidents caused by malicious employees or an inefficient compliance organization,
• Joint representation towards BaFin and Public Prosecutor’s Office,
• Conducting (multijurisdictional) corporate internal investigations,
• Ad hoc assistance in connection with search and seizures of authorities,
• Compliance health-checks, including anti-money laundering (AML) compliance and general MaRisk compliance,
• A Rapid Response service, providing experts lawyers responding to incidents and emergencies 24 hours a day, 365 days a year across the globe.

Selected work highlights

Our dedicated interdisciplinary team of experts form our compliance/white collar crime and financepractice groups combine their knowledge and insights assisting you to navigate even the mostchallenging crisis scenarios.

• Advising the German subsidiary of a large international banking group on German bank secrecy aspects of a comprehensive investigation by several US agencies in the field of an alleged breach of US foreign sanctions.
• Advising an internationally active credit institution in connection with a complaint filed with BaFin against a branch manager on suspicion of criminal offences and compliance violations, including conducting an internal investigation.
• Advising a company in the financial sector in connection with the suspicion of embezzlement/fraud of a retired managing director and other employees, investigation of the facts and legal assessment as well as on possible criminal and civil law action.
• Advising numerous institutions and PE-fonds on the implementation of AML compliance with respect to the 4th and 5th AML directive as well as corresponding risk analyses, drafting outsourcing contracts, amending AML handbooks, and conducting tailored staff trainings. Further, our advice comprised the representation of clients towards FIU, AML supervisory authorities and Public Prosecutor’s Offices.
• Advising a subsidiary of an internationally leading PE investor in connection with inquiries from the tax criminal authorities in connection with possible irregularities in real estate transfer tax issues.
• Expert opinion and advisory services to an international financial service provider in connection with possible criminal law implications for the accounting of customer credit in two different complex issues.