ABN Amro Adds to Wave of European Money Laundering Scandals (1)

Europe’s widening money laundering scandals took a new turn as ABN Amro Bank NV disclosed a criminal probe over alleged failures to check on clients and report suspicious transactions, a further sign of woe in an industry already struggling to grow profitability.

Shares of the state-controlled bank slumped the most since its 2015 initial public offering and its bonds fell after the Dutch prosecutor opened a criminal probe into its alleged failures to check on clients and report suspicious transactions.

The Dutch probe adds to a series of money-laundering cases that have engulfed lenders, highlighting weaknesses in the region’s ...