LONDON, Feb 10 (Reuters) - The head of HSBC's private bank has told staff past practices, which may haveallowed some clients to dodge taxes, are unacceptable and thebank has no appetite to deal with such customers.
"The practices and the banking model of that time are nolonger acceptable," Peter Boyles, chief executive of HSBC'sGlobal Private Banking since December 2012, said in a memo tostaff.
"Our clients want to know that we have changed and the pastpractices they read about in the papers have no place in ourmodern private bank. And from our side we have absolutely noappetite to do business with clients or potential clients whoare evading their taxes or who fail to meet our financial crimecompliance standards," a person familiar with the contents ofthe memo told Reuters on Tuesday.
HSBC on Sunday admitted failings in compliance and controlsin its Swiss private bank and faces investigation by U.S.authorities and an inquiry by British lawmakers after mediareports said it helped wealthy customers conceal millions ofdollars of assets in a period up to 2007.
Boyles said in the memo HSBC had taken significant steps totransform its Swiss private bank and implement global standardsand tax transparency initiatives. (Reporting by Steve Slater; Editing by Alexander Smith)
HSBC Holdings (HSBA)