After Swedbank's affiliate in Estonia decided to eventually offboard one of its largest clients, Carbo One, over money-laundering concerns in late 2016, the company still managed to transfer millions of euros to a similarly named Scottish entity that appears to have existed only on paper.
An ongoing investigation by Sweden’s largest bank into 50 legal entities suspected of laundering billions of dollars through its Baltic affiliates is too narrow in scope to identify the full extent of the scandal now threatening it, analysts said.