The ECB has revoked the license of AAB Bank due to compliance issues and allegations of money laundering.

The decision has been made with immediate effect, meaning the Austrian lender will have to withdraw from banking business.

AAB Bank had already begun to withdraw from banking a month ago and has said that the ECB’s decision “does not change anything; the Bank will continue or accelerate its withdrawal from banking business as planned.”

 

The bank had a history of poor compliance with money laundering regulations having been involved in the Odebrecht corruption scandal and a fine earlier in the year for AML and CFT failures.

It’s good to see the ECB censuring failures for compliance even if the bank was withdrawing from the industry anyway.