RBS investigated over possible Iran sanctions violations – FT

Report of investigations by Federal Reserve and department of justice follows $340m settlement by Standard Chartered

US authorities are investigating Royal Bank of Scotland for possible violations of sanctions with Iran, the Financial Times reports.

The Federal Reserve and department of justice are conducting the investigation, the paper said, citing several people close to the situation. The investigation comes after the British bank volunteered information to US and UK regulators 18 months ago, the Financial Times said.

Ed Canaday, a spokesman for RBS, declined comment.

But in its quarterly report filed on 8 August, RBS said it had “initiated discussions with UK and US authorities to discuss its historical compliance with applicable laws and regulations, including US economic sanctions regulations”. The bank said it could not predict the outcome of those discussions.

RBS made a similar disclosure to investors 18 months ago.

A spokesman for the Federal Reserve said it could not “comment on supervisory matters pertaining to individual institutions”. A representative at the justice department did not respond to a request for comment.

The report of the investigations into RBS followed last week’s $340m (£215m) settlement by Standard Chartered. The British bank had been accused by the New York Department of Financial Services of concealing $250bn in Iranian transactions.

The Financial Times said that the New York state agency is not investigating RBS.

In 2010, RBS agreed to pay $500m to settle similar allegations by US federal authorities that ABN Amro, a Dutch bank RBS acquired in 2007, had violated US sanction laws.

guardian.co.uk © 2012 Guardian News and Media Limited or its affiliated companies. All rights reserved. | Use of this content is subject to our Terms & Conditions | More Feeds

Enjoyed this post? Share it!

 

Leave a comment

Your email address will not be published.