Germany's banking giant Deutsche Bank on Monday insisted that offshore business is legal, as it confirmed it had helped customers to find shell companies abroad, dpa reports.
"We are fully aware of the significance of this matter," a spokesman said following the so-called Panama Papers leak in international media, which implies top politicians, sports stars and criminals hide their money in shell companies in offshore tax havens.
"As far as Deutsche Bank is concerned, we have improved our procedures for accepting new customers. We check who we are doing business with and make sure that our guidelines, procedures and systems follow all relevant laws and regulations."
Private bank Berenberg in Hamburg also confirmed it had conducted business abroad with shell companies, businesses that are often solely created for the purpose of hiding money.
A spokesman said the bank's Swiss-based subsidiary, asset manager Berensberg Bank AG, held bank accounts of offshore businesses.
The spokesman said this "agrees with legal guidelines", but that the bank needed to take extra care with such accounts, which are "permanently monitored".
Account beneficiaries, for instance, were always known to the bank, while special databases were used to check for negative information among accounts' beneficiaries and managing agents.
The Frankfurt-based private bank DZ said it never actively offered its customers so-called letterbox companies.
"This has never been part of our business model. Capital investment companies we are working with have a proven track record of following tax rules," banking institute said.