Wise, the UK-based international money transfer service, has confirmed it is cooperating with Belgian prosecutors investigating money laundering concerns, causing its shares to fall. In a stock market statement, the company said it was “working with the Brussels prosecutor to respond to queries about our business, as we routinely do with regulators and law-enforcement authorities.” The inquiries are ongoing, and no specific findings have been shared with Wise.
Shares in the company dropped nearly 20% at one point on Monday before closing 8% lower, as investors reacted to the confirmation of discussions with the Belgian prosecutor's office. The London-based firm, which has 19 million customers and processes 4.7 million transactions daily, is valued at over £8 billion.
The statement followed a report by the Bureau of Investigative Journalism (TBIJ), which claimed Belgian authorities were investigating whether Wise accounts had been used by criminals to launder proceeds of fraud, corruption, and drug trafficking. Prosecutors in Belgium reportedly opened the investigation last year, based on Wise accounts featuring in hundreds of cross-border criminal assistance requests from over 30 European countries, involving transactions totalling €500 million (£433 million).
According to the report, Belgian authorities are investigating “indications of non-compliance with anti-money laundering legislation.” Wise told investors it continually invests in technology and teams to combat financial crime, with around one-third of its global team dedicated to protecting customers. The company, formerly known as TransferWise, specialises in rapid cross-border payments and floated in 2021.
