The Amsterdam-based bank says that it expects a modest first quarter loss after settling the Dutch AML probe that has also caused the resignation of Danske's CEO.

ABN AMRO is to pay fines totalling €480 million ($574 million) to settle a Dutch anti-money laundering investigation. Announcing the penalty yesterday, the bank said the fine would be booked in the first quarter and lead to a "modest" first-quarter loss.

The fine relates to an investigation by Dutch prosecutors in 2019 that found ABN AMRO and other prominent lenders in the Dutch market "falling short" on AML controls.

Danish bank Danske has also been caught up in the probe prompting its CEO Chris Vogelzang to resign on Monday. Vogelzang is a former ABN Amro executive named by Dutch authorities as a suspect in the ABM investigation. He took over at Danske in June 2019 tasked with leading the bank out of its own AML imbroglio involving rogue activity at its Estonia branch between 2007 and 2015. (See a separate report here.)

ABM AMRO chief executive Robert Swaak said: "This settlement marks the end of a painful and disappointing episode for ABN AMRO. The lessons we have learned from this experience drive us in our continued effort as gatekeepers to achieve a safer society and a financial system that meets the highest standards of integrity."