By now, you’ve probably already heard the big greenwashing enforcement news out of Germany. ESG Today reported
“Deutsche Bank’s investment arm DWS has been fined €25 million (USD$27 million) over charges that it misled investors over its sustainable investing credentials, according to a statement released by the Frankfurt prosecutor’s office. In a statement following the announcement, DWS said that it has ‘acknowledged that in the past our marketing was sometimes exuberant,’ and that the firm has already improved its internal documentation and control processes…
The U.S. Securities and Exchange Commission (SEC) launched its own investigation into the allegations, with DWS agreeing in 2023 to a $19 million fine to settle the charges, marking the largest-ever greenwashing penalty to date imposed on an asset manager by the SEC.”
Although some may argue that the political and regulatory winds are changing to ease sustainability reporting burdens and enforcement, it doesn’t seem prudent to risk 8-digit fines for greenwashing. Stay the course.
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