Miserable sell out...Despicable, must suck to be so desperate.
Standard Chartered Faces NY Suspension over $250bn Iran Deals
Allegations of violations of Federal financial laws by Standard Chartered are the latest involving British banks
By Geetha Pillai: Subscribe to Geetha's RSS feed
August 7, 2012 5:50 AM GMT
Standard Chartered stands accused of favouring
financial institutions in Iran - a country long blighted by allegations
of repression and political violence.
Standard Chartered may be suspended from doing business in New York
after the firm was accused by state authorities of allegedly handling
more than $250bn in transactions with Iranian banks that viloated US
money laundering laws.
"For nearly a decade, SCB programmatically engaged in deceptive and
fraudulent misconduct in order to move at least $250 billion through its
New York branch on behalf of client Iranian financial institutions that
were subject to US economic sanctions, and then covered up its
transgressions," said New York's Department of Financial Services (DFS).
"SCB's actions left the US financial system vulnerable to terrorists,
weapons dealers, drug kingpins and corrupt regimes, and deprived law
enforcement investigators of crucial information used to track all
manner of criminal activity," the US regulator added.
According to the DFS, Standard Chartered earned millions of dollars
in fees for handling transactions on behalf of Iranian clients which
included the Central Bank of Iran/Markazi, Bank Saderat and Bank Melli.
The US regulator has ordered the bank to explain its apparent
violation of law and called the UK-based Standard Chartered a "rogue
institution". The regulator is also planning to hold a formal hearing
over the assessment of monetary penalties.
"The department's extensive investigation included the review of more
than 30,000 pages of documents, including internal SCB e-mails that
describe willful and egregious violations of law," said the DFS in a
However, Standard Chartered maintained that it strongly rejected the portrayal of facts by the DFS.
The bank said it previously informed the US authorities that it had
"started a review of its historical US dollar transactions and their
compliance with US sanction".
"[SCB] ceased all new business with Iranian customers in any currency over five years ago," it added.
"As we have disclosed to the authorities, well over 99.9% of the
transactions relating to Iran complied with U-turn regulations. The
total value of transactions which did not follow the U-turn was under
$14m," Standard Chartered said in a statement.
The allegations against Standard Chartered are the latest in a series
of regulatory violations involving the US arms of British banks.
Previous incidents include $298mn settlement in 2010 by Barclays and
$350mn settlement by Lloyd's in 2009 for claims of trade laws violations
with financial institutions from countries under US sanctions such as
Cuba, Iran, Libya and Sudan.
Standard Chartered shares fell 6.2 percent to HK$176.50 at morning
trade in Hong Kong, marking the biggest decline in the past 10 months.
In: Other News
Tags: uk, banks, desperate, launder, money, drug cartels, terrorists, iran, kill, own, soldiers, despicable, pathetic, british, standard,
Location: United Kingdom (UK/GB) (load item map)
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