Klarna fined $50mn and reprimanded by Swedish regulator

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Klarna has been fined $50mn and given a reprimand by Sweden’s monetary regulator for breaking anti-money laundering guidelines because the purchase now, pay later pioneer gears up for a inventory market itemizing.

The Swedish regulator mentioned on Wednesday that Klarna had “vital deficiencies” equivalent to not having any assessments of the way it might be used for cash laundering or terrorist financing or due diligence processes for all prospects in its investigation from 2021-22.

“The anti-money laundering rules have to be adopted. You will need to counteract the danger that the agency’s operations might be utilized by criminals,” mentioned Daniel Barr, director-general of FI, the principle Swedish monetary regulator.

Klarna mentioned that it took anti-money laundering guidelines “critically”. It added that the FI choice was about “rule interpretation and software, and to not precise instances of cash laundering”.

It is a growing story