Our correspondent Andreas Frank writes:  US Attorney General Eric Holder met with Eveline Widmer-Schlumpf, his counterpart from Switzerland, as investigators cracked down on Swiss banks that help US customers avoid paying taxes.

Widmer-Schlumpf was accompanied by State Secretary Jacques de Watteville as well as representatives of the Federal Department of Foreign Affairs and the Federal Department of Justice and Police. The talks with Mr. Holder focused on the current US programme to settle the tax dispute for category 2, 3 and 4 banks, as well as the ongoing US criminal investigations concerning category 1 banks domiciled in Switzerland.

Switzerland is committed to ensuring with the US authorities a fair and balanced procedure in accordance with the principle of proportionality in order to prevent Swiss banks from being treated worse than other banks.

US officials were tight-lipped about the content of the meeting between Holder and Eveline Widmer-Schlumpf, but confirmed that the US probe into the Credit Suisse bank was discussed.

The day the Swiss negotiated with the DOJ “a fair and balanced treatment of Credit Swiss”, Switzerland added 15 individuals to a list of people who are subject to business restrictions and travel bans because of their involvement with the crisis in Ukraine, a move that follows the expansion of European Union sanctions.

Swiss authorities said financial institutions in the Alpine country could no longer do business with Russian Deputy Prime Minister Dmitry Kozak, Russian military head Valery Gerasimov and the leaders of separatist groups that have seized buildings in eastern Ukrainian. The expansion means 48 people are now subject to restrictions.

Europe and the U.S. announced new sanctions in late April in response to Russia’s actions in Ukraine. EU sanctions focus on individuals but U.S. sanctions also target banks and other companies.

The Swiss announcement is a reversal of the Swiss Federal Council’s March 26 decision not to impose sanctions against Russia for its seizure of Crimea, claiming it wanted to find a “balance” between international law and Switzerland’s interests.

It is obvious that pledges given by the DOJ to the Swiss in the Credit Swiss case tipped the balance in favour of Switzerland joining the EU sanctions.