Deutsche Bank, aka, The Teutonic Titanic, sank on the news that police raided their headquarters in Frankfurt Germany.
The Frankfurt headquarters of Deutsche Bank have been raided by prosecutors in a money laundering investigation.
Germany’s public prosecutor alleged that two staff members have helped clients launder money from criminal activities.
Police cars were seen outside the tower blocks that house the headquarters of Germany’s biggest bank.
Five other Deutsche offices in the city were searched in an operation involving about 170 police and officials.
Prosecutors are looking into whether Deutsche Bank staff helped clients set up offshore accounts to “transfer money from criminal activities”.
The investigation, which began in August, focuses on activities between 2013 and the start of 2018.
In 2016 alone, more than 900 customers were served by a Deutsche Bank subsidiary registered in the British Virgin Islands, generating a volume of €311m, the prosecutors allege.
The investigation was sparked by revelations in the 2016 “Panama Papers” – an enormous amount of information leaked from a Panamanian law firm called Mossack Fonseca.
Yes, Deutsche’s stock declined further below $10 per share.
At the same time, Deutsche’s default probability (5Y SR CDS) spiked.
Unlike the actual Titanic that struck a single iceberg, Deutsche Bank just keeps hitting icebergs on a consistent level.
I am sure the Chief executive of Deutsche Bank, Christian Sewing, is quoting Alan Rickman from Galaxy Quest, “Could you possibly try not to hit every single one?”