Schroders has set aside £15 million for potential fines to resolve a US probe of its alleged role in helping American clients dodge taxes, according to Gulf News.
Schroders is the latest bank to settle with US authorities clamping down on offshore banks they accuse of helping wealthy Americans to avoid paying tax.
Go deeper with GlobalData
Access deeper industry intelligence
Experience unmatched clarity with a single platform that combines unique data, AI, and human expertise.
The fund company said that the fine was connected to its Swiss private bank.
The company been participating in a DoJ programme, that started in August last year, to support financial institutions identify their client accounts that are non tax compliant to settle a non-prosecution agreement.
However, the fines stemming from the non-prosecution agreements will depend upon the number of undeclared US clients the company had and when these clients were taken on.
Recently, Coutts also said that it is participating in the DoJ programme as some of its clients may not have declared their assets in compliance with US tax laws.
US Tariffs are shifting - will you react or anticipate?
Don’t let policy changes catch you off guard. Stay proactive with real-time data and expert analysis.
By GlobalDataHSBC Private Bank has also set aside US$352 million for legal costs relating to various legacy regulatory investigations.
According to the US Department of Justice, the fines will be imposed on all undeclared financial accounts of more than US$50,000 besides heavier fines for accounts that were opened after 2008.
