The State District Court has granted a request by the Financial Sector Supervisory Commission (CSSF) to limit the Banque Havilland's activities. This follows the recent revocation of the bank's licence by the European Central Bank.
The Luxembourg Financial Sector Supervisory Commission (CSSF) has submitted a request for suspended payments to the Luxembourg court after the European Central Bank recently withdrew the Banque Havilland SA's licence.
The bank subsequently announced on its website that it intended to file an appeal against the ECB's decision.
Banque Havilland SA, a subsidiary of the Havilland group currently headquartered on Avenue Kennedy in Kirchberg, is facing a series of crises that have placed its future in jeopardy. It presently employs around 130 people in the Grand Duchy.
Background on Havilland's ongoing scandals and regulatory scrutiny
The bank faced a €1 million fine from the CSSF six years ago for poor governance in anti-money laundering efforts. Since then, it has been involved in several controversies, including speculation against the Qatari currency in Great Britain, business ties with British Prince Andrew, a money laundering case in Monaco, and allegations of manipulating declared losses in Luxembourg.
The banking union ALEBA has expressed concerns about job security and has requested that the bank ensure fair compensation for its employees. Meanwhile, Havilland Bank has begun winding down operations in Liechtenstein and Switzerland, with the CEO of these subsidiaries stepping down in April.
Read further:
Official announcement: European Central Bank revokes Banque Havilland's operating licence
130 jobs at risk: Havilland Bank Luxembourg at risk of losing licence: media
