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SEB Faces Lawsuit After Closing Accounts of Russian Citizens Over Sanctions Concerns

Key Points
  • SEB closed accounts of two Russian citizens in Stockholm over suspicions of sanctions violations and money laundering concerns.
  • Over 60 million Swedish kronor were reportedly transferred to a Swedish SEB account, prompting the bank's action.
  • The Russian citizens, relatives of former Gazprom board member Olga Pavlova, have sued SEB claiming the bank had no right to close their accounts.

Swedish bank SEB is facing legal action after closing the accounts of two Russian citizens residing in Stockholm, according to reports from Sveriges Radio. The bank reportedly took action following suspicions of sanctions violations and money laundering concerns after over 60 million Swedish kronor were transferred to a Swedish SEB account. The Russian citizens, who are relatives of former Gazprom board member Olga Pavlova, deny any wrongdoing and have sued the bank, claiming SEB had no right to terminate their customer relationships.

Documents submitted in the court case reportedly show the transfers began several months after tightened sanctions were implemented. SEB has cited sanctions regulations and anti-money laundering laws as justification for its actions, while the Russian citizens maintain they have not committed any criminal offenses. The case highlights the ongoing challenges financial institutions face in navigating international sanctions regimes.

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