Register | Forgot Your Password? | Close

NEW YORK (AP) - A federal judge approved a deal that will allow HSBC to pay a record $1.9 billion penalty to settle accusations the British Bank helped Mexican drug traffickers, Iran, Libya and others under U.S. suspicion or sanction move money around the world.

The settlement, originally announced in December, is the largest penalty ever imposed on a bank.

The Justice Department's case maintained that HSBC's failure to monitor itself allowed criminals and suspect countries like Cuba, Myanmar and Sudan to move hundreds of millions in prohibited transactions through U.S. financial institutions from the mid-1990s through 2006.

Judge John Gleeson of the U.S. District Court for New York's Eastern District approved the plan Monday. It requires court supervision of HSBC for five years, after which the U.S. will seek to dismiss the case.


(Copyright 2013 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.)
share this story:
Attention KTAR.com Comment Users: We have recently changed our comments boards.
We would like you to be part of the conversation and The Voice of Arizona by logging in with your Facebook, Twitter, Google+ or Disqus account. Existing KTAR (Arizona Sports) account members will need to create a Disqus account or use one of the aforementioned social media logins. Thank you.
comments powered by Disqus