German Police Seize Bank Records in Luanda Leaks Probe
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KfW-Ipex-Bank Raided Amid Luanda Leaks Probe
Table of Contents
German police searched the headquarters of KfW-Ipex-Bank, a subsidiary of Kreditanstalt für Wiederaufbau (KfW), last month as part of a criminal examination stemming from the Luanda Leaks investigation, according to local media reports.
The Investigation: Loan to Isabel dos Santos‘ Brewery
Federal police seized files from KfW-Ipex-Bank following allegations that bank employees misappropriated public funds when granting a $55 million loan to Sodiba, the brewery of Angolan billionaire Isabel dos Santos. This data was reported by Süddeutsche Zeitung, NDR and WDR.
Authorities are investigating whether KfW adequately vetted dos Santos’ connections to Sodiba before approving the loan. The scrutiny focuses on due diligence procedures and potential failures to identify risks associated with the borrower.
Luanda leaks: Uncovering a Network of Financial Dealings
The $55 million loan was issued in 2015 to Sodiba through an Angolan bank,as revealed by the Luanda Leaks investigation, a collaborative effort by the International Consortium of Investigative Journalists (ICIJ) and journalists from 20 countries. This investigation exposed how Isabel dos Santos, Africa’s richest woman at the time, allegedly moved hundreds of millions of dollars in public funds out of Angola, one of the world’s poorest nations.
Luanda Leaks detailed a complex web of companies and transactions used to divert public money. The investigation highlighted the role of Western financial institutions,including KfW-Ipex-Bank,in facilitating thes transactions.
How the Loan was Used: krones AG Equipment
The Luanda Leaks investigation revealed that dos Santos used the $55 million loan to purchase a brewery and bottle filling systems from German manufacturer Krones AG, according to reporting by media partners. Krones AG stated to reporters at the time that it was unaware of dos Santos’ ownership of Sodiba.Though, public records had linked dos santos to the company for years prior to the loan approval.
Timeline of Events
| Date | Event |
|---|---|
| 2015 | KfW-ipex-bank grants $55 million loan to Sodiba. |
| 2020 | The Luanda Leaks |