The bank is engaged in an ongoing dispute with the US Justice Department which is likely to not just result in a huge fine but in the banking giant sacrificing its American business. An insider told German media: “Before an agreement about the amount of the penalty can be made with the Americans, the bank has to sort out one or two other things” – not least its international business model. The banking source added:
“Changes in the business model on the one hand and a fine on the other hand are often the condition for a settlement with the US government.” It is widely understood the bank will be forced to give up part of its American investment banking, with further job cuts soon to be announced. It is still unclear when the bank will come to an agreement with US authorities. FULL REPORT
