Swedbank Fined $81 Million for IT Incident

By Dominic Chopping

STOCKHOLM--Swedbank AB has been fined 850 million Swedish kronor ($81.1 million) by the Swedish Financial Supervisory Authority following an IT incident at the bank last year, it said Wednesday.

In April last year, the Swedish lender made changes to an IT system that inadvertently caused incorrect balances to be displayed on around one million customers' accounts.

The FSA said its investigation shows that Swedbank made the change in its system without following internal procedures for how such changes should be implemented, while it also didn't have suitable control mechanisms in place to ensure that the bank followed internal procedures.

"The lack of internal control could have impacted the stability in the financial system," the FSA said in a statement.

"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."

Swedbank said it has taken "forceful" measures to prevent this type of incident from happening again.

Write to Dominic Chopping at [e-mail]

(END) Dow Jones Newswires

March 15, 2023 04:52 ET (08:52 GMT)

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