New York State Regulators Fine Bank For Iranian Money Laundering
NEW YORK (CBSNewYork) – New York’s financial regulator has reached a nine-figure settlement with a British bank over money laundering allegations. The New York State Department of Financial Services announced the settlement.
WCBS 880’s Peter Haskell reports
Standard Chartered Bank will pay a penalty of $340 million. In addition to the fine, the bank has agreed to at least two years of oversight from an independent monitor.
The bank was accused of helping the Iranian government launder more than $250 billion by hiding the identities of Iranian clients in more than 60,000 separate transactions.
The deals, made from 2001 to 2007, were prohibited due to sanctions.
In a statement released Tuesday, the bank said it, “strongly rejects the position or the portrayal of facts as set out in the order issued by the DFS.”
“The Group does not believe the order issued by the DFS presents a full and accurate picture of the facts,” the statement went on.
The bank also said it stopped all new business with Iranian customers more than five years ago.
State officials claimed the transactions left the banking system vulnerable to terrorists.