A luxury handbag purchase has led to a €500,000 settlement, or about ₱34.3 million. Dutch prosecutors confirmed that Louis Vuitton’s Netherlands unit agreed to pay the fine after authorities linked its stores to more than €2 million in suspected criminal cash, roughly ₱137 million.
The case draws attention to how high-end retailers monitor large cash transactions. Now, the brand faces scrutiny over its compliance controls.
Prosecutors say a 36-year-old woman spent over €2 million in criminal proceeds between August 2021 and February 2023. That amount equals around ₱137 million. She allegedly used different names while making repeated cash purchases of luxury handbags.
Under Dutch law, companies must verify customers and report unusual transactions to prevent money laundering and terrorist financing.
Investigators believe the woman shipped the handbags to China for resale to make the money appear legitimate. Authorities linked the funds to a convicted “banker” tied to crime gangs. Police reportedly found removal boxes, receipts, chat messages, and CCTV footage at her home.
Prosecutors are also pursuing two other suspects, including a former Louis Vuitton sales assistant accused of alerting her about new stock and warning her about reporting limits.
At the time, businesses had to report unusual cash payments of €10,000 or more. That threshold has since dropped to €3,000 as of January 1, 2026. Prosecutors said the company should have taken stricter action on repeated large cash purchases across its Dutch stores.
The criminal case against the three suspects remains ongoing. Meanwhile, prosecutors settled with the company out of court to ease pressure on Rotterdam’s district court.
