Lithuania’s central bank has imposed a fine of €3.5 million on Revolut over failings in its anti-money laundering controls.

The London-headquartered fintech firm operates within the European Union under a Lithuanian banking licence and is supervised by both the European and Lithuanian central banks.

The penalty follows a routine inspection which uncovered “violations and shortcomings in the monitoring of business relationships and operations,” the central bank said.

These lapses resulted in Revolut “not always properly identifying suspicious monetary operations or transactions,” it added.

Revolut responded by stating that the investigation had not revealed any confirmed instances of money laundering and that the findings were related to enhancing existing procedures.

“Revolut Bank is committed to the highest standards of regulatory compliance and cooperated fully with the Bank of Lithuania to take immediate action addressing the procedural deficiencies,”

a spokesperson said.

According to the central bank, Revolut has entered into a settlement and has taken steps to rectify the issues identified during the inspection.

The fine, the largest ever issued by Lithuania’s central bank, was determined based on the seriousness of the violations and the revenue of Revolut Holdings Europe – the company’s regulated entity for operations within the European Economic Area.

Revolut was valued at US$45 billion in August following a secondary share sale to both new and existing investors, placing it ahead of several of Europe’s largest traditional banks in terms of market value.

The company reported a record pre-tax profit of US$559.5 million in 2023.

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