(Reuters) -Citigroup is being investigated by US government agencies over its ties to sanctioned Russian billionaire Suleiman Abusaidovich Kerimov, Barron's reported on Thursday, citing a person familiar with the matter.
The U.S. Department of Justice, Federal Bureau of Investigation and Internal Revenue Service are investigating the bank's work with Delaware-based Heritage Trust, which owns Kerimov's assets, the report said.
“Citi is committed to conducting all business with the highest consideration to comply with all applicable laws and regulations,” a Citi spokesperson told Reuters in an emailed statement.
“At the same time, we are actively winding down nearly all of our institutional banking business in Russia, except for operations necessary to meet other legal and regulatory obligations, while we continue to wind down our Russian consumer banking business.”
Part of the investigation is under investigation Citi Group (NYSE:) anti-money laundering and client vetting processes, Barron's report said.
The DOJ, FBI and IRS did not immediately respond to Reuters requests for comment.
Kerimov was sanctioned by the United States in 2014 and 2018 in response to Russia's actions in Syria and Ukraine.
The United States in 2022 has taken enforcement actions imposing restrictions on the Heritage Trust over interests held by Russian oligarchs.