A stable, well-functioning financial market for allA stable, well-functioning financial market for allSwedbank receives a remark and an administrative fine
Swedbank is receiving a remark for the bank’s lack of internal control following a change to a business-critical IT system last year. The bank must also pay an administrative fine of SEK 850 000 000.
On 28–29 April 2022, a major IT incident occurred at Swedbank in conjunction with the bank making a change in a business-critical IT system. Almost one million customers had incorrect balances in their accounts, which appeared to be missing money, since a large number of transactions were stopped in the systems.
Finansinspektionen's investigation shows that Swedbank made the change in its system without following internal procedures for how such changes should be implemented. Swedbank also did not have suitable control mechanisms in place to ensure that the bank followed internal procedures. As a result, Swedbank has been in violation of central rules regarding internal control. According to its procedures, for example, Swedbank should have conducted a risk and impact analysis of the change, and the timing of the change should have been assessed based on, among other things, when salaries are paid.
"The bank deviated from its own procedures. As a result, a very large number of people experienced major problems carrying out basic banking services. Almost one million customers had incorrect balances on their accounts, and many were unable to make payments. The incident shows that a failure to follow procedures and maintain internal controls can have serious consequences," says Acting Director General Susanna Grufman.
The lack of internal control could have impacted the stability in the financial system. At the same time, however, the violation was neither prolonged nor systemic, and Swedbank has taken measures to strengthen its internal control. The bank is therefore being issued a remark accompanied by an administrative fine of SEK 850 000 000.
Finansinspektionen makes the assessment that the fine will not jeopardise the bank's current business or its customers. The bank is well-capitalised, shows profitability and has good liquidity coverage.
FI's Acting Director General Susanna Grufman and Chief Legal Counsel Eric Leijonram will be available for interviews today, 15 March, at 10:00 a.m. Requests for interviews must be submitted to FI's press officers no later than 09:30 a.m.
