Wise under investigation by Belgian prosecutors over money laundering controls
Wise, the UK-based international money transfer service, confirmed it is cooperating with Belgian prosecutors investigating money laundering, causing its shares to fall more than 10%. The company issued a statement to the stock market saying it is “currently working with the Brussels prosecutor to respond to queries about our business.” The statement was in response to a report by the Bureau of Investigative Journalism (TBIJ), which claimed Belgian authorities were investigating whether Wise accounts were “used by criminals to launder the proceeds of fraud, corruption and drug trafficking.” Prosecutors in Belgium reportedly opened the investigation last year based on hundreds of requests for cross-border help from more than 30 countries, with transactions under investigation amounting to €500m (£433m). Authorities have said they are investigating “indications of non-compliance with anti-money laundering legislation.” Wise stated that its inquiries are incomplete and no specific findings have been shared to date. The company added that it “invest in tech-enabled systems and teams” to combat financial crime and that about one-third of its global team is dedicated to protecting customers from financial crime.
What’s reported
Wise confirmed it is working with the Brussels prosecutor to respond to queries about its business.
Shares in Wise fell more than 10% by early afternoon.
The Bureau of Investigative Journalism (TBIJ) reported that Belgian authorities are investigating whether Wise accounts were used by criminals to launder proceeds of fraud, corruption, and drug trafficking.
Prosecutors in Belgium opened the investigation last year based on hundreds of requests for cross-border help from more than 30 countries.
The transactions under investigation amounted to €500m (£433m).
Belgian authorities are investigating “indications of non-compliance with anti-money laundering legislation.”
Wise stated it verifies customers, monitors data points in real time, and reports suspicious activity to law enforcement.
Around one-third of Wise’s global team is dedicated to protecting customers from financial crime.
Open questions
What specific findings, if any, will emerge from the investigation.
Whether any charges or regulatory actions will be taken against Wise.
Key figures
Kristo Käärmann, co-founder and chief executive of Wise (mentioned in context of 2024 fine)
Brussels prosecutor (office mentioned, not named)
Bureau of Investigative Journalism (TBIJ) (reporting entity)
Sources: The Guardian
