Norway flags serious AML gaps at Handelsbanken branch

TL;DR

Norway's Finanstilsynet found serious deficiencies in Handelsbanken Norge's anti-money laundering compliance during a March 2024 inspection.
The bank lacked ID for 1002 customers, real beneficial owners for 38 others, and had no investigation-triggering transaction alerts in three years.
Regulators demand fixes by end of 2026 with half-yearly reports, highlighting gaps in risk assessment and customer monitoring.

The story at a glance

Norway's Financial Supervisory Authority, Finanstilsynet, published a report on April 16, 2026, detailing serious shortcomings in Svenska Handelsbanken AB's Norwegian branch's compliance with anti-money laundering rules. The findings stem from an on-site inspection conducted March 4-7, 2024, targeting risk assessments, customer due diligence, transaction monitoring, internal controls, training, and outsourcing. Handelsbanken must now report progress on fixes every six months, with full remediation required by the end of 2026.[[1]](https://www.finanstilsynet.no/nyhetsarkiv/tilsynsrapporter/2026/tilsynsrapport---handelsbanken)[[2]](https://www.finanstilsynet.no/contentassets/3226e4e181d441ed905964d15c0a375e/tilsynsrapport---handelsbanken.pdf)

Key points

Serious deficiencies overall: Finanstilsynet assessed "alvorlige mangler" in adherence to money laundering laws, covering risk evaluation, routines, customer measures, ongoing monitoring, investigations, reporting, and training.[[2]](https://www.finanstilsynet.no/contentassets/3226e4e181d441ed905964d15c0a375e/tilsynsrapport---handelsbanken.pdf)
Risk assessments weak: Incomplete coverage of risk factors like high-net-worth clients, geographic exposures, and terrorism financing; no clear link between inherent risks, controls, and residual risk levels.[[2]](https://www.finanstilsynet.no/contentassets/3226e4e181d441ed905964d15c0a375e/tilsynsrapport---handelsbanken.pdf)
Customer due diligence failures: Risk classification model outdated and illogical before February 2024; 1002 customers (52 businesses, 950 private) without ID verification, 38 without identified beneficial owners, 558 without stated purpose—numbers likely higher per sample checks; enhanced measures for high-risk cases inadequate.[[2]](https://www.finanstilsynet.no/contentassets/3226e4e181d441ed905964d15c0a375e/tilsynsrapport---handelsbanken.pdf)
Transaction monitoring flaws: Electronic system missed risks beyond obvious patterns (e.g., cash, high-risk countries); no alerts requiring investigation in past three years; 36 of 78 rules produced zero alerts in 2023; many alerts dismissed without proper checks.[[3]](https://e24.no/boers-og-finans/i/K8r2kM/finanstilsynet-avdekket-alvorlige-mangler-hos-handelsbanken)
Other gaps: Insufficient staff training, poor internal controls for error follow-up, weak outsourcing oversight (e.g., cash services in stores), and incomplete PEP (politically exposed persons) reviews.[[2]](https://www.finanstilsynet.no/contentassets/3226e4e181d441ed905964d15c0a375e/tilsynsrapport---handelsbanken.pdf)

Details and context

The inspection reviewed 115 customer files across risk classes and sampled transaction monitoring and outsourced services. Finanstilsynet's preliminary report came January 23, 2026, with Handelsbanken's response February 27, 2026; the bank disputes the severity but acknowledges pre-existing efforts. Since the inspection, Handelsbanken reports structural changes, improved risk tools, and better controls, claiming stronger compliance now.

These findings fit a pattern of Nordic bank AML scrutiny—Swedish authorities also probe Handelsbanken, while past cases hit DNB and Swedbank with fines. No penalty mentioned yet; focus is remediation by December 2026 amid rising regulatory demands post-Danske Bank scandal.[[2]](https://www.finanstilsynet.no/contentassets/3226e4e181d441ed905964d15c0a375e/tilsynsrapport---handelsbanken.pdf)

Key quotes

"Finanstilsynets vurdering er at det på tilsynstidspunktet var alvorlige mangler i foretakets etterlevelse." (Finanstilsynet's assessment is that there were serious deficiencies in the enterprise's compliance at the time of inspection.) — Finanstilsynet report.[[2]](https://www.finanstilsynet.no/contentassets/3226e4e181d441ed905964d15c0a375e/tilsynsrapport---handelsbanken.pdf)

"De siste to årene har vi arbeidet strukturert og målrettet for å imøtekomme Finanstilsynets innspill." (Over the last two years we have worked structured and targeted to meet Finanstilsynets input.) — Silje Bjerknes Løken, Handelsbanken.[[3]](https://e24.no/boers-og-finans/i/K8r2kM/finanstilsynet-avdekket-alvorlige-mangler-hos-handelsbanken)

Why it matters

Nordic banks face intensifying AML enforcement as regulators prioritize financial crime prevention amid high laundering risks from cash-heavy and cross-border flows. Investors and customers may see remediation costs hit Handelsbanken’s earnings, with potential fines looming if fixes lag. Watch Finanstilsynet’s half-yearly reviews and December 2026 deadline for compliance sign-off, plus any parallel Swedish probe outcomes.