Standard Chartered settles Iran sanctions claims with New York
New York regulators reached a settlement Tuesday with Britain's Standard Chartered Bank over allegations that it violated US sanctions against Iran and US money laundering laws, DPA reported.
The bank reached an agreement with the New York Department of Financial Services that will see it pay a 340-million-dollar fine.
The bank will appoint a monitor to report to the regulators for two years and have other employees oversee and audit efforts to stop money laundering. Regulators from the state will monitor the bank directly.
New York state regulators charged last week that Standard was hiding 250 billion dollars worth of transactions with Iranian banks, and the parties agreed Tuesday that at least 250 billion dollars worth of transaction were at issue.
The New York Department of Financial Services had ordered bank executives to a now-cancelled meeting on Wednesday to explain why its license to operate should not be revoked, but that meeting has now been cancelled.
The bank has no US banking operations, but losing its New York license would impede payments made in dollars for clients with businesses in the US and emerging markets.
Standard earlier insisted that 99.9 per cent of its transactions with Iran complied with US Treasury regulations and that the total value of transactions that were not in compliance was less than 14 million dollars.
The New York banking authorities last week described the bank as a "rogue institution" and alleged that it "schemed" with the Iranian government.