Due to the investigation of money laundering involving employees, Deutsche Bank (DB.US) reacted before the market opened and fell sharply.

Deutsche Bank Aktiengesellschaft (DB.US) was raided due to a money laundering investigation involving employees, causing its stock price to drop. As of the time of writing, Deutsche Bank's US stocks fell nearly 4% in pre-market trading on Wednesday. It is reported that the Frankfurt Public Prosecutor's Office and the Federal Criminal Police Office are investigating unknown employees of Deutsche Bank Aktiengesellschaft suspected of involvement in the case. The Prosecutor's Office stated that Deutsche Bank "had business relationships with certain foreign companies in the past, which are suspected of being used for money laundering purposes in further investigations." The statement said that searches are being conducted at Deutsche Bank's offices in Frankfurt and Berlin to investigate the matter. Banks must implement strict monitoring of the funds they handle to prevent the flow of illicit funds. Deutsche Bank has been criticized in the past for inadequate measures to prevent such activities, and has been searched multiple times and has invested heavily in improvements. This surprise raid is a setback for Deutsche Bank Aktiengesellschaft CEO Christian Sewing. In his nearly eight years in office, he has been widely praised for successfully turning around the bank's fortunes and ending long-standing scandals and losses. A Deutsche Bank spokesperson stated via email: "We confirm that the Frankfurt Public Prosecutor's Office is conducting an investigation at our offices. The bank is fully cooperating with the Prosecutor's Office. We cannot comment further at this time."