Wed, Dec 04, 2019 – 5:50 AM
EUROPE’S finance chiefs are to confront a wave of money-laundering scandals within the banking industry by recommending that a regional agency be formed to prevent such crimes.
Officials will call on the European Commission, the European Union’s (EU) executive arm, to further consider and make a proposal for setting up a common institution to fight illicit financial flows, according to a draft document seen by Bloomberg. They’re set to agree on the recommendations on Thursday in Brussels.
The current framework’s shortcomings have been laid bare by a string of high-profile scandals that have shut down banks and slashed lenders’ share prices in several European countries.
A coordinated response by the region’s finance ministers would open the door for a revamp of the system’s supervision, which is vulnerable to abuse because it’s largely legislated along national lines.