Three news to start your week: June 10
European Union approves new financial crime agency
(The Wall Street Journal)
The European Union has approved the establishment of a new anti-money laundering watchdog, marking a significant milestone in the fight against illicit cash flows within the 27-member union.
The Council of the European Union, a legislative body, recently ratified anti-money laundering measures, including creating an authority in Frankfurt. This new agency called the Authority for Anti-Money Laundering and Countering the Financing of Terrorism (AMLA), is set to begin operating in mid-2025.
Equipped with direct supervisory powers over high-risk financial entities, AMLA will effectively close the loopholes that have allowed money laundering to persist. Furthermore, it will have the authority to impose fines.
Former Allianz fund manager pleads guilty to defrauding investors
(The Wall Street Journal)
A former Allianz fund manager who was responsible for the investment group that endured significant losses during the market crash of 2020 caused by the COVID-19 pandemic has pleaded guilty to charges of fraud.
Gregoire Tournant, the former chief investment officer at Allianz Global Investors US, appeared before Judge Laura Taylor Swain in the US District Court for the Southern District of New York and admitted to two counts of investment adviser fraud. As part of his plea, he has also agreed to forfeit approximately $17 million. Tournant could face up to 10 years in prison and is due to be sentenced on October 16th.
Since 2022, Tournant has been facing charges of conspiracy, securities fraud, investment adviser fraud, and obstruction of justice. Prosecutors in Manhattan have alleged that the private funds managed by Tournant at Allianz Global Investors suffered losses exceeding $7 billion during the market selloff of March 2020, resulting in the eventual closure of the funds.
Piqué under investigation in Spain corruption case
(BBC)
Former Barcelona and Manchester United defender Gerard Piqué is being investigated by a court in Spain for his suspected involvement in a deal that led to the relocation of the Spanish Super Cup to Saudi Arabia.
Piqué's company, Kosmos, secured agreements with the Spanish Football Federation (RFEF), entitling them to 40 million euros for facilitating the deal, while the RFEF stood to gain 400 million euros.
Judge Delia Rodrigo has identified potential illegalities with criminal implications within the agreements. Piqué has been formally included in the group of individuals under official investigation for these allegations.
Piqué has consistently maintained the deal's legality and refuted any wrongdoing.
