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Klarna Bank criticised by FSA over money laundering risks

Klarna Bank has been upbraided by the Swedish Financial Supervisory Authority for failing to adequately deal with money laundering risks.

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Klarna Bank criticised by FSA over money laundering risks

Editorial

This content has been selected, created and edited by the Finextra editorial team based upon its relevance and interest to our community.

A redacted letter from the FSA sent to Klarna CEO Sebastian Siemiatkowski in July and seen by local newspaper Dagens Industri, includes criticism that covers at least six different provisions in the Money Laundering Act, including general risk assessment, risk assessment of customers and know your customer-rules.

The FSA will examine whether there is reason to intervene against Klarna and how that should be done, according to the letter.

Klarna declined to comment to Dagens Industri on how the FSA’s assessment might affect the timeline for a possible IPO next year.

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