Abu Dhabi’s Aabar says fully behind Falcon Private Bank after 1MDB sanctions

Abu Dhabi investment firm Aabar Investments said on Tuesday it was fully behind its Falcon Private Bank unit after it was sanctioned in relation to the scandal-hit Malaysian state investment fund 1MDB .

“Aabar Investments PJS (“Aabar”) reconfirms its full commitment and support for the bank,” Aabar said in a statement.

“Aabar views the bank as a strategic investment and has no current intention to sell.” Falcon was fully acquired by Aabar Investments in 2009.

The Monetary Authority of Singapore (MAS) on Tuesday said it had ordered Zurich-based Falcon Private Bank’s Singapore branch to cease operating because of “a persistent and severe lack of understanding” of Singapore’s money-laundering controls.

In Zurich, the Financial Market Supervisory Authority (FINMA) ordered Falcon to turn over CHF2.5m ($2.56m) in what the watchdog said were illegal profits.