Standard Chartered PLC (the "Group") announces that it has resolved the previously disclosed investigations by the U. S. Department of Justice ("DOJ"), the Office of the District Attorney for New York County ("DANY"), the ("DFS"), the Board of Governors of the Federal Reserve System and the U. S. Treasury's Office of Foreign Assets Control (together, the "U. S. Agencies") and the U. K.
Financial Conduct Authority ("FCA") into its historical sanctions compliance and financial crime controls.
Under the terms of the resolutions, the Group will pay a total of $947 million in monetary penalties to the U. S. Agencies and 102 million to the FCA. The Group took a $900 million provision which included these matters in the fourth quarter of 2018 and will take a further and final charge of $190 million in the first quarter of 2019. The Group's deferred prosecution agreements with the DOJ and DANY have been extended to 9 April 2021. The resolutions include no new compliance monitorships and the monitorships previously imposed by the DFS and the DOJ were terminated on 31 December 2018 and 31 March 2019, respectively.
The Group accepts full responsibility for the violations and control deficiencies outlined in the resolution documents, the vast majority of which predated 2012 and none of which occurred after 2014. These violations include the actions of two former junior employees who were aware of certain customers' Iranian connections and conspired with them to break the law, deceive the Group and violate its policies. Such behaviour is wholly unacceptable to the Group.
Standard Chartered has cooperated proactively and fully with the authorities' investigations. The Group has also conducted its own thorough accountability review and shared the results with the authorities.
Powered by Capital Market - Live News
(This story has not been edited by Business Standard staff and is auto-generated from a syndicated feed.)