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3 news to start your week: May 25

Written by TWC Staff | Mon, May 25, 2026

Deutsche Bank fined by UK for breaching Russia sanctions 

Financial Times

UK authorities have fined Deutsche Bank for violating Russian sanctions, weeks after the German lender had self-reported potential breaches involving Russian clients to EU regulators.

The Office of Financial Sanctions Implementation (OFSI), part of HM Treasury, announced it had imposed a £165,000 penalty on Deutsche's London branch for the sanctions breach.

OFSI said the violation stemmed from Deutsche processing payments in 2022 on behalf of a client to Okko, a Russian online video streaming service owned by a sanctioned entity, JSC New Opportunities.

The bank had, at the time, partly relied on a third-party provider for sanctions screening, which failed to flag concerns about Okko's ownership structure.
 

French regulator fines SocGen $23 mln for failing to disclose information to retail customers 

Reuters

France's financial regulator, the ACPR, has fined Société Générale 20 million euros ($23.31 million) for withholding key information from retail customers.

The ACPR found that in 2018, the bank automatically bundled an insurance contract with the opening of a new account type called "Sobrio" without informing customers. The bank failed to provide required pre-contract disclosures and did not fulfill its duty to act in clients' best interests in its capacity as an insurance broker.

Société Générale said it acknowledged the decision, took corrective action after the ACPR raised concerns during its 2024 investigation, and reimbursed affected customers. The bank also noted that its reading of the law governing combined banking and insurance products differed from the regulator's. It said it was considering an appeal to the Council of State.

 

ECB summons banks to urge them to fix flaws exposed by latest AI models 

Financial Times

The European Central Bank has called banks to an urgent meeting to discuss cybersecurity risks uncovered by the latest AI models, pressing lenders to accelerate efforts to protect their IT infrastructure.

At the meeting, the ECB planned to highlight the severity of threats to the financial system revealed by Anthropic's Claude Mythos Preview and comparable AI models. The regulator also urged US banks with access to the latest technology to share findings with European counterparts that have been denied access.

The hastily arranged meeting reflects how regulators worldwide are scrambling to address risks that advanced AI models like Mythos could pose to the banking system by exposing weaknesses in lenders' technology. European banks and regulators are in a particularly vulnerable position, as Anthropic has restricted access to Mythos to a limited set of organizations, mostly in the US, through its Project Glasswing program.

Anthropic said last month that Mythos had found thousands of high-severity vulnerabilities, including some in every major operating system and web browser, warning that the fallout for economies, public safety, and national security could be severe.