Switzerland’s oldest private bank, Wegelin & Co. announced Friday that they had agreed to sell the bank to the Raiffeisen banking group. Wegelin senior managing partner Konrad Hummler said the sale had resulted from “the extraordinarily difficult situation and threat to the bank brought about by the legal dispute with the US”.
On January 3, 2012, three Wegelin bankers were indicted on charges they conspired to impede and impair the IRS. The bankers are accused of helping more than 100 U.S. taxpayers hide more than $1.2 billion in income and assets from the IRS by “opening and servicing “undeclared accounts.”
Wegelin is one of 11 Swiss banks involved in the U.S. Justice Department probe of banks suspected of selling offshore tax evasion services to Americans.