Three former top executives at Bank Leumi (TASE: LUMI) recently received warning letters from the Bank of Israel's Supervisor of Banks David Zaken about the money laundering affair for customers in the US branch of the bank, Yoav Yitzhak's News1 website reports.
In the letters that he sent out, Zaken invites the three executives - former chairman Eitan Raff, former CEO Galia Maor and former head of the international and private banking division Zvi Itskovich - to respond to the draft of the harshly critical report on the matter of their role and responsibility in the money laundering for customers at the bank's US branch.
The three former executives were asked to send a letter of response, and if necessary a meeting will be held for further clarifications. The warning letters to the three state that they may be especially harmed by the final report. Their response is expected later this week.
The affair concerns criticism following the investigation of the US authorities of criminal events that took place in Bank Leumi's US branch between the years 2002 and 2010 - when the three executives were serving the bank.
Bank Leumi admitted committing the offenses and paid a fine of about NIS 1.5 billion.
News1 also reported that Adv. Ram Caspi, who is representing Eitan Raff, is working on behalf of his client to prevent publication of the critical report out of concern that the findings of the report will be used against the executives in civil and criminal proceedings.
Published by Globes [online], Israel business news - www.globes-online.com - on August 16, 2015
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