On 2 February 2012 Wegelin & Co. was indicted for conspiring with United States taxpayers and others to hide more than $1.2 billion in secret accounts and the income these accounts generated from the Internal Revenue Service (IRS). At the same time, the US government seized more than $16 million from Wegelin’s correspondent bank account in the United States.
In January 2012, Wegelin & Co. moved most of its employees, along with its non-US clients and assets to Notenstein Privatbank.
In January 2013, Wegelin Bank pleaded guilty to allowing more than 100 American citizens to hide $1.2 billion from IRS. Although this practice is legal under Swiss law, the bank agreed to pay $57.8 million in fines to the United States authorities. At about the same time Wegelin & Co. announced that it would close.
Wegelin & Co. Privatbankiers, Gesellschafter Bruderer, Hummler, Tolle & Co. participates in the deposit guarantee scheme of Switzerland. This deposit guarantee scheme applies to credit balances made by private individuals (Swiss and foreign), legal entities (Swiss and foreign) and covers up to up to 100,000 CHF per bank per depositor. Wegelin & Co. Privatbankiers, Gesellschafter Bruderer, Hummler, Tolle & Co. is a member of esisuisse – Deposit Insurance and makes its contributions into it.
Wegelin & Co. Privatbankiers, Gesellschafter Bruderer, Hummler, Tolle & Co. was headquartered in St. Gallen.