The European Central Bank (ECB) has imposed a fine of 3.255 million euros on the Banque Internationale à Luxembourg (BIL). The ECB said the bank intentionally did not use its internal models approved by the ECB. As a result, the expected loss for defaulted receivables from private customers and companies was incorrectly calculated.
The result: for three consecutive quarters, BIL reported more equity than it was entitled to. The period ranges from the fourth quarter of 2023 to the second quarter of 2024.
