Swiss raid HSBC's Geneva office in investigation

GENEVA , Switzerland, Feb. 18 (UPI) -- The Geneva, Switzerland, office of an HSBC Bank subsidiary was searched Wednesday in an ongoing money-laundering investigation, Swiss prosecutors said.

The probe centers on alleged money-laundering allegations and claims the bank helped clients evade taxes and conceal $100 billion. The International Consortium of Investigative Journalists (ICIJ) reported the bank "repeatedly reassured clients that it would not disclose details of accounts to national authorities" and suggested procedures that "ultimately allow clients to avoid paying taxes in their home countries."

The bank has a relationship, and has "served those close" to former Egyptian President Hosni Mubarak, former Tunisian President Ben Ali and current Syrian president Bashar al-Assad, as well as other clients who are or were involved in British, Russian, Ukrainian, Romanian named Indian politics, ICIJ said, adding the revelations were turned over to French authorities by a former HSBC employee in 2008.

The investigation into "aggravated money laundering" could extend to individuals, the Geneva public prosecutor said. Prosecutors searched the office of HSBC Private Bank (Suisse), while HSBC, in a statement, said it was "co-operating with the Swiss authorities."

Last week the bank admitted it was "accountable for past control failures" but noted "the compliance culture and standards of due diligence in HSBC's Swiss private bank, as well as the industry in general, were significantly lower than they are today."