According to the ruling by the Swiss Federal Criminal Court, the bank failed to implement "all reasonable and necessary organizational measures" required to prevent money laundering, leading to the conviction.
A former Lombard Odier employee, identified in court documents only as "C.", was also sentenced to a 24-month suspended prison term, Reuters reported.
The court additionally ordered the confiscation of assets worth more than 400 million Swiss francs.
When determining the sentences, the court excluded allegations related to events before July 2011 because the statute of limitations had expired.
Responding to the verdict, Lombard Odier said it was the bank itself that had alerted law enforcement authorities to suspicious transactions in 2012, triggering the criminal investigation. The bank maintained that it had effective anti-money laundering controls in place at the time and announced that it would appeal the ruling.
According to prosecutors, Karimova accepted bribes, led an organized criminal group known as "The Office," and laundered millions of dollars in illicit proceeds by transferring funds to Swiss bank accounts between 2005 and 2013. Karimova, who is serving a prison sentence in Uzbekistan, has denied all allegations.
The trial before the Swiss Federal Criminal Court began in April this year. During the initial hearings, the part of the proceedings concerning Karimova was suspended because she was not participating in the trial.
The court also suspended proceedings relating to Karimova's alleged business associate, identified in court documents as "B." and believed to be residing in Russia, after authorities were unable to bring him before the court.
