Connect with us
Finance Digest is a leading online platform for finance and business news, providing insights on banking, finance, technology, investing,trading, insurance, fintech, and more. The platform covers a diverse range of topics, including banking, insurance, investment, wealth management, fintech, and regulatory issues. The website publishes news, press releases, opinion and advertorials on various financial organizations, products and services which are commissioned from various Companies, Organizations, PR agencies, Bloggers etc. These commissioned articles are commercial in nature. This is not to be considered as financial advice and should be considered only for information purposes. It does not reflect the views or opinion of our website and is not to be considered an endorsement or a recommendation. We cannot guarantee the accuracy or applicability of any information provided with respect to your individual or personal circumstances. Please seek Professional advice from a qualified professional before making any financial decisions. We link to various third-party websites, affiliate sales networks, and to our advertising partners websites. When you view or click on certain links available on our articles, our partners may compensate us for displaying the content to you or make a purchase or fill a form. This will not incur any additional charges to you. To make things simpler for you to identity or distinguish advertised or sponsored articles or links, you may consider all articles or links hosted on our site as a commercial article placement. We will not be responsible for any loss you may suffer as a result of any omission or inaccuracy on the website.

NEWS

Exclusive-U.S. SEC readies penalty for DWS in greenwashing probe by end September -sources

Exclusive-U.S. SEC readies penalty for DWS in greenwashing probe by end September -sources

By Chris Prentice and Tom Sims

NEW YORK/FRANKFURT (Reuters) – The U.S. Securities and Exchange Commission is preparing to resolve a two-year probe into allegations of greenwashing by the German fund manager DWS, with a fine by the end of September, two people with knowledge of the matter said.

Resolution of the case with the U.S. authorities, which the people said would likely result in a financial settlement that is not expected to be significant, would help draw a line under an episode that has tarnished the image of Deutsche Bank-controlled DWS.

DWS said the resolution of allegations was a top priority but that it couldn’t comment on timeframes or outcomes. The Securities and Exchange Commission (SEC) and Deutsche Bank declined to comment.

Since 2021, regulators on both sides of the Atlantic have investigated accusations sparked by a whistleblower that DWS may have misled investors by marketing its funds as greener than they actually were. Investigations in Germany are still ongoing.

DWS has said that it stands by its financial disclosures and fund prospectuses and is cooperating with investigators. But the scrutiny has resulted in raids by investigators on DWS’ headquarters, the resignation of its chief executive and pressure on its share price.

Under Democratic leadership, the SEC has pledged to crack down on “greenwashing” and the inflating of ESG credentials to attract investors. Last year it cracked down on Goldman Sachs with a $4 million fine.

DWS had earmarked civil litigation provisions of 8 million euros ($8.84 million) by the end of last year.

It remains unclear when there may be a resolution on the case with German authorities.

DWS has been in settlement negotiations with Frankfurt prosecutors over a multi-million euro fine, one of the people said.

Earlier in July, Reuters and other media reported that German prosecutors were investigating DWS’ former CEO Asoka Woehrmann, who in the past has called allegations “unfounded”.

($1 = 0.9055 euros)

 

(Reporting by Chris Prentice and Tom Sims; Editing by John O’Donnell, Louise Heavens and Susan Fenton)

 

Continue Reading

Why pay for news and opinions when you can get them for free?

       Subscribe for free now!


By submitting this form, you are consenting to receive marketing emails from: . You can revoke your consent to receive emails at any time by using the SafeUnsubscribe® link, found at the bottom of every email. Emails are serviced by Constant Contact

Recent Posts