The Swiss Financial Market Supervisory Authority (FINMA) confirmed that its decision to withdraw MBaer Merchant Bank AG’s banking licence and order the bank into liquidation is now effective after the bank withdrew its appeal to the Swiss Federal Administrative Court. FINMA appointed Prof. Daniel Staehelin and Dr Lukas Bopp of Kellerhals Carrard KIG Basel as liquidators. FINMA identified serious, systematic shortcomings in the bank’s anti-money laundering due diligence, administrative organisation and risk management, particularly in its handling of clients subject to Swiss or international sanctions, which enabled circumvention of official asset freezes. The investigating agent found that 80% of business relationships carried increased risks and that, most recently, 98% of assets received came from high-risk clients; the bank repeatedly disregarded compliance recommendations, failed to adequately investigate business relationships and transactions, and in some cases did not meet Anti-Money Laundering Act reporting obligations or did so too late. FINMA also cited cases where transactions were executed for clients on sanctions lists or involving funds frozen by domestic criminal authorities, and said there were indications the bank actively aided clients in circumventing asset freezes; it has opened four additional proceedings against individuals who may have been responsible for supervisory-law breaches. Separately, the US Financial Crimes Enforcement Network recommended on 26 February 2026 that measures be imposed under Section 311 of the USA PATRIOT Act, identifying MBaer Merchant Bank AG as a financial institution of primary money laundering concern, with the proposed measure subject to public consultation.

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