Senate Democrats implore the Federal Reserve to investigate Deutsche Bank for money laundering.
A group of Democratic senators want top officials at the Federal Reserve to examine whether Deutsche Bank complied with anti-money-laundering and other laws after bank employees flagged transactions tied to President Trump as potentially suspicious.
The request, in a letter sent Thursday, was in response to a New York Times report about specialists at Deutsche Bank recommending that transactions by legal entities controlled by Mr. Trump and his son-in-law, Jared Kushner, be reported to a federal financial-crime regulator. Managers at the bank rejected their employees’ advice and did not alert the government.
The letter to the Fed chairman, Jerome H. Powell, and John C. Williams, the president of the Federal Reserve Bank of New York, called on the Fed to look into the transactions and whether the bank’s handling of the matter adhered to anti-money-laundering laws. The Fed is one of the main regulators of Deutsche Bank’s American operations.
“Only by conducting a thorough review of the full range of this activity can we better understand what happened in these cases; what practices, procedures, or personnel may need to be changed at the bank; and what regulators should do to ensure the Federal Reserve’s ability effectively to monitor compliance with anti-money laundering laws,” the senators wrote.