Settlements with US and UK authorities force bank to take hit in first-quarter results
'Standard Chartered has been ordered to pay $1.1bn (£842m) by US and UK authorities to settle allegations of poor money-laundering controls and breaching sanctions against countries including Iran.
The British bank has agreed to pay $947m to American agencies, including the US Department of Justice, over allegations that it violated sanctions against a string of countries including Iran.
Separately, it was fined £102m by the Financial Conduct Authority for anti-money-laundering breaches that included “shortcomings” in its counter-terrorism finance controls in the Middle East. It is the second-largest fine ever imposed by the UK regulator for anti-money-laundering failures.
The US treasury department said the latest fines settled “apparent violations” of sanctions imposed against Burma, Zimbabwe, Cuba, Sudan, Syria, and Iran.
It said Standard Chartered processed transactions worth $438m between 2009 and 2014, the majority of which involved Iran-linked accounts from its Dubai branch routing payments through, or to, its New York office or other US-based banks.
The fines were widely expected after Standard Chartered said in February it had set aside $900m (£691m) to cover US and UK penalties. However, the final settlements will force the bank to take a further $190m hit in its first-quarter results, which it will report on 30 April.'
Read more: Standard Chartered fined $1.1 billion for money-laundering and sanctions breaches