NPF Case: MCB Seeks to Overturn Rs1.2 Million Fine, Appeals to Privy Council

Mauritius Commercial Bank (MCB) is seeking to appeal a £20,000 fine to the Judicial Committee of the Privy Council in London, following a Supreme Court ruling that upheld its conviction for anti-money laundering failures. The bank, which was fined Rs 1.2 million for breaching the Financial Intelligence and Anti-Money Laundering Act (FIAMLA), described the ruling as “unjustly prejudicial.”

The Supreme Court, on August 20, 2025, confirmed the bank’s conviction but reduced the original penalty from Rs 1.8 million (£30,000) to Rs 1.2 million (£20,000), taking into account that the case dates back over two decades.

MCB, in a statement released this Friday, 5 S, said that after a thorough review and legal consultation, it has “profound concern” regarding the Supreme Court’s findings and the upholding of the conviction.

The bank intends to appeal the decision on both the merits of the case and the procedure. The fine stems from a 2017 Intermediate Court ruling that found the bank guilty of failing to implement “reasonably necessary measures” to prevent its services from being used for money laundering.

The case originates from a 2003 fraud involving a fraudulent scheme of approximately Rs 880 million (£14.6 million) from the National Pensions Fund (NPF) and the National Savings Fund (NSF).

Investigations revealed serious internal control flaws, including an excessive concentration of power in the hands of a retired employee, Robert Lesage.

The Supreme Court stated that these structural weaknesses facilitated the fraud and justified the bank’s conviction.

Source: Defi Media