Standard Chartered pays to get NY regulator off its back
Standard Chartered has reached a settlement with the New York Department of Financial Services (DFS) over claims its US subsidiary illegally processed payments for Iran.
Standard Chartered has reached a settlement with the New York Department of Financial Services (DFS) over claims its US subsidiary illegally processed payments for Iran.
According to reports the emerging market focused bank will pay $340m to settle the claims, and will allow the New York DFS to oversee its compliance activities for at least two years.
The New York regulator accused the bank of illegally processing $250bn of payments for Iran. The bank maintains the total number of payments that didn't comply with US sanctions laws was just a fraction of the alleged 60,000 transactions.
MoneyWeek
Subscribe to MoneyWeek today and get your first six magazine issues absolutely FREE

Sign up to Money Morning
Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter
Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter
It admits there were breaches but maintains they amounted to $14m across 300 transactions.
Standard Chartered officials had been due to appear at an official hearing in front of the Department of Financial Services on Wednesday, but this has now been adjourned.
Benjamin Lawsky, the head of the New York regulator, had ordered the management to explain why the bank shouldn't lose its licence. He has accused Standard of being a "rogue institution" for breaking US sanctions against Iran.
The latest allegations follow hefty fines being levied against Barclays and HSBC by US regulators, for interest rate fixing and facilitating money laundering, respectively.
Standard Chartered is already in discussion with the US Justice Department over a separate matter concerning violation of sanctions laws.
JH
Get the latest financial news, insights and expert analysis from our award-winning MoneyWeek team, to help you understand what really matters when it comes to your finances.
MoneyWeek is written by a team of experienced and award-winning journalists, plus expert columnists. As well as daily digital news and features, MoneyWeek also publishes a weekly magazine, covering investing and personal finance. From share tips, pensions, gold to practical investment tips - we provide a round-up to help you make money and keep it.
-
Reeves warned against property tax shake-up – 3 ways it could backfire on first-time buyers
Rachel Reeves reportedly has her eye on high-end property taxes in the upcoming Budget, but there are concerns a shake-up could unintentionally hamper those trying to get on the housing ladder
-
Average Brits want to retire five years before they can – who has the widest retirement gap?
Brits are expecting to work for longer than ever but there are big disparities in the number of extra working years predicted. A small tweak could help close the gap