Private banks in Switzerland are not allowing their top executives to travel abroad because of the apprehension that they would be detained, as the authorities are cracking the whip on banks over secrecy matters, says a media report.
“Switzerland’s private banks have started to ban their top executives from travelling abroad, even to neighbouring France and Germany, because of fears they will be detained as part of a global crackdown on bank secrecy,” The Financial Times has reported.
Attributing to the head of one leading private bank in Geneva, the daily said that steps taken by countries like the US and Germany to tackle tax evasion and secrecy meant banks felt they had to take extra measures to protect employees.
“Some banks have taken this precaution… If today I go to Germany to visit two banks I deal with…German customs can take me in and question me,” he was quoted as saying.
The report published online said the travel bans, which have not been brought in by all banks, have focused on those visiting the US.
This is following the detention of a senior private banker from UBS, last year, as part of a federal tax investigation.