Deutsche Bank has started installing an application on bankers’ phones to track all of their communications with customers amid regulatory investigations into inappropriate news that have rocked the industry.
That German lender has begun requiring certain bankers to download Movius, a US mobile app that allows compliance officers to monitor calls, texts and WhatsApp conversations, according to people with knowledge of the directive.
Movius, which has partnerships with telcos like Sprint, BlackBerry, Telstra and Telefónica, was rolled out by several banks during the pandemic to allow employees in highly regulated roles like commerce to work remotely.
JPMorgan Chase, UBS, Julius Baer, Jefferies, and Cantor Fitzgerald have all made use of the software in recent years.
Banks are increasingly looking for tools to help them monitor their employees’ interactions with customers after multiple regulatory investigations led to banker departures.
The US government is investigating Wall Street record-keeping practices, while the UK’s Financial Conduct Authority and Germany’s BaFin have requested information from banks on how they monitor their employees’ personal communications.
The German has been installing Movius on employees’ phones for several weeks, although the exercise has focused on work phones rather than personal devices, according to people familiar with the approach. The Company’s Code of Conduct prohibits work-related electronic communications with customers and business partners through unsupervised channels.
The bank declined to comment on its use of Movius.
A former manager of Deutsche Bank’s wealth management arm, DWS, has reported the allegation Extensive use of WhatsApp by outgoing CEO Asoka Woehrmann and other DWS executives in a whistleblower complaint with Germany’s financial regulator BaFin, the Financial Times reported.
The FT also reported this year that the German boss Christian Sewing exchanged friendly WhatsApp messages with a German businessman whom the bank had terminated as a customer after a series of potentially suspicious payments.
Deutsche was approached by BaFin earlier this year to provide information on how employees use messaging apps, people close to the bank said. Bloomberg previously reported that the bank was testing a technical solution to improve communications monitoring.
The official investigations have had serious consequences for individual employees. Credit Suisse fired a prominent investment banker this year after finding he had been a drug user unapproved messaging apps with customers, the FT reported this week.
HSBC’s London-based compliance team conducted an investigation into personal messages earlier this year that led to an unnamed foreign exchange Merchant fired. The probe revealed messages on the person’s phone that revealed a broker had bought the retailer tickets to a sporting event
In December, JPMorgan Chase agreed to pay the SEC and the Commodity Futures Trading Commission $200 million in fines for failing to keep records of employee communications on personal devices, which many Wall- Street banks startled.
Most banks have policies in place that dictate that communication with customers should be through official channels such as B. Company email or recorded phone lines that can be monitored by the compliance department.
But bankers often find that their clients prefer to communicate through apps on their personal cell phones.
Deutsche Bank installs app on bankers’ phones to track private messages Source link Deutsche Bank installs app on bankers’ phones to track private messages