Standard Chartered NY Banking License Threatened

by Christopher Freeburn | August 6, 2012 2:48 pm

Standard Chartered (PINK:SCBFF[1]) is facing the possible loss of its banking license stemming from charges that it violated U.S. sanctions against the government of Iran[2].

On Monday, the New York State Department of Financial Services claimed that the New York office of the British bank had concealed $250 billion worth of financial exhanges with Iran and other internationally-condemned regimes, including Libya, Sudan and Myanmar, for years, Fox Business noted.

According to the agency, Chartered Financial deliberately hid 60,000 transactions with countries and governments under U.S. trade sanctions by altering wire transfer messages to edit out the identities of the parties involved.

Shares of Standard Chartered dropped more than 7% in New York over-the-counter trading on Monday.

According to the agency, Chartered Financial received assistance  in the scheme from accounting firm Deloitte & Touche.

Included in the list of illicit transactions are exchanges with Iran’s central bank and two other large banks with ties to the Iranian government.

The government has ordered Standard Chartered to defend its banking license against the charges and pay for a monitor to oversee its transactions.

  1. SCBFF:
  2. violated U.S. sanctions against the government of Iran:

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