Bank / Credit Union

Switzerland to consider changing banking secrecy laws due to UN pressure

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May 3, 2022

The Swiss government is currently considering whether to change banking secrecy laws due to pressure from UN officials, who argue that these laws allow account holders to prosecute whistleblowers and journalists who report wrongdoing. Article 47 makes it a crime to disclose information about a bank's clients, even if that client is involved in human rights violations, according to a report by The Guardian.

Recently a consortium of international media outlets investigated a leak into Credit Suisse, the second largest bank in Switzerland, which revealed that the bank's clients included people involved in drug trafficking, money laundering, torture, corruption and other crime; however, due to the secrecy law, any journalists who investigated this leak could face jail time or fines.

Due to this, Irene Khan, special rapporteur for freedom of opinion and expression at the United Nations, wrote the Swiss government, saying that article 47 violated international law and human rights.

She said that the Swiss government was, "in a difficult position to explain why publishing information that could reveal financial crimes should be punished with up to three years in prison. Especially when journalists and whistleblowers point out real problems in a bank. The law should not criminalize that."

Khan also plans to take the issue to the UN human rights council on June 24 unless Switzerland changes this law.

"Switzerland is a champion of human rights and press freedom and participates actively in the UN human rights council. It has repeatedly denounced the actions of other countries against journalists," Khan said in the report. "That is why it is important that Switzerland now reacts itself and changes such a problematic law. Switzerland must not only preach. It must also act."

The Swiss government plans to respond next week.