HSBC’s private banking arm has been placed under investigation by French authorities looking to find out whether the bank acted appropriately between 2006 to 2007 in relation to tax reporting requirements.

HSBC’s Swiss private banking arm has been placed under formal investigation by French authorities looking to find out whether the bank acted appropriately between 2006 to 2007 in relation to tax reporting requirements.

The bank said in a statement that in connection with the investigation it had paid a €50 million ($62 million) deposit. The inquiry comes just days after HSBC was accused by a Belgian court of money laundering.

“We confirm that HSBC Private Bank (Suisse) SA has been placed under formal investigation by French magistrates who are examining whether the bank acted appropriately between 2006 to 2007 in relation to certain clients of the bank who had French tax reporting requirements, as well as in relation to the way the bank offered its services in the country. In connection with the investigation, HSBC Private Bank (Suisse) SA has been asked to deposit a bail bond of 50 million euros,” HSBC said in a statement.

HSBC said it was cooperating with the investigation.

French publication Le Monde reported over 20,000 companies and 106,000 individuals had hidden more than €180.6 billion between 2006 to 2007.

Last week, the Swiss private banking arm of HSBC was charged by a Belgian court with tax fraud and money laundering after being accused of helping wealthy customers avoid tax, costing hundreds of millions of euros in unpaid taxes.

According to media reports, prosecutors have alleged that the bank helped hundreds of clients, including diamond dealers in Antwerp, move money to onshore tax havens located mainly in Panama and the British Virgin Islands.

In allegations dating back several years, HSBC has been accused of fiscal fraud, money laundering and criminal organisation. The bank has also been accused of illegally practicing as a financial intermediary, as the bank does not possess a licence to offer financial services in Belgium.

The news is the latest blow to hit the bank following a fine of almost £400 million ($625 million) earlier this month for allowing traders to rig foreign exchange markets.