Standard Chartered paid $667m in 2012 to settle allegations of sanctions breaches

Standard Chartered is bracing itself for a bumper fine this week that could total hundreds of millions of pounds as it settles US charges over Iranian sanctions violations.

Iran Press/Europe: The London-headquartered but Asia-focused bank is expected to draw a line under a long-running investigation into sanctions busting by Wednesday when a six-year deferred prosecution agreement (DPA) with US authorities is set to expire.

DPAs allow firms to settle charges with state authorities without facing criminal prosecution, the Guardian reported.

The companies must agree to specified conditions, which can include a fine and their conduct being monitored for a set period.

Standard Chartered announced last month it had set aside $900m (£691m) to cover US and UK penalties, the bulk of which is expected to go towards settlement of US sanctions violations.

The investigation relates to alleged lapses in the bank’s internal controls, which may have allowed clients with 'Iranian interests' to conduct business though the bank between 2007 and 2014. It may result in substantial fines and other compliance measures including restrictions on its operations, according to Standard Chartered’s most recent annual report.

Standard Chartered paid $667m in 2012 to settle allegations of sanctions breaches

Standard Chartered has already paid $667m in 2012 to settle allegations of sanctions breaches between 2001 and 2007.

Standard Chartered’s share price has fallen below 650p, compared with 845p in early 2018.

It would be the latest fine imposed on Standard Chartered, which was hit with a £102m penalty by the UK’s Financial Conduct Authority over financial crime control breaches in February.

On May 2018, the US President Donald Trump withdrew from 2015 multilateral nuclear agreementJoint Comprehensive Plan of Action (JCPOA), and re-imposed the sanctions that had been lifted under the accord.

Washington reinstated a series of unilateral sanctions against Iran in early August and re-impose a second batch in November which as Trump said the goal was bring Iranian oil export to zero. 101/201/213

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More Sanctions, No New Oil Waivers: US point man of Iran

Standard Chartered paid $667m in 2012 to settle allegations of sanctions breaches
Standard Chartered paid $667m in 2012 to settle allegations of sanctions breaches