Mill supply of Rabo subsidiary US

- A subsidiary of Rabobank in California is taking a provision of 310 million euros in the run-up to a settlement with the American authorities in a years-long investigation into possible money laundering.

The bank would have ignored signals that customers were laundering money at departments in California.

The settlement will be taken in the fourth quarter of 2017 by Rabo subsidiary RNA and will be incorporated in the annual figures of the parent company. RNA recently entered into discussions with, among others, the US Department of Justice to settle the matter.

Money laundering would have taken place at Rabobank locations near the border with Mexico. It would be illegal money from drug cartels and other criminal organizations.

The settlement is also likely to include a confession of guilt against RNA with regard to a one-off violation by former employees. They would have withheld information from researchers five years ago. The research has been running since 2013.