The Treasury Departmentsaid that Standard Chartered's practices from 2001 to 2007 interfered with the U.S. implementation of economic sanctions. When detailing transactions at its London offices, for example, the bank omitted or removed references to U.S.-sanctioned locations, effectively obscuring the fact that the funds originated from countries such as Iran, Libya and Sudan, the U.S. said.
The financial penalties include a $227 million forfeiture agreement with the U.S. Justice Department and a $100 million penalty by the Federal Reserve Board related to sanctions and anti-money-laundering violations. The settlement between Standard Chartered and the U.S. government includes a deferred prosecution deal between the company and the U.S. District Attorney for New York, which will result in the charges being dropped later if Standard Charter complies with the agreements.
