NYT: Deutsche Bank investigated in US over Iran

Banks allegedly using US branches to move billions of dollars in Iran-linked transactions.

By REUTERS
August 18, 2012 21:38
1 minute read.
Iranian rial

Iranian rial 390. (photo credit: Reuters)

 
X

Dear Reader,
As you can imagine, more people are reading The Jerusalem Post than ever before. Nevertheless, traditional business models are no longer sustainable and high-quality publications, like ours, are being forced to look for new ways to keep going. Unlike many other news organizations, we have not put up a paywall. We want to keep our journalism open and accessible and be able to keep providing you with news and analyses from the frontlines of Israel, the Middle East and the Jewish World.

As one of our loyal readers, we ask you to be our partner.

For $5 a month you will receive access to the following:

  • A user experience almost completely free of ads
  • Access to our Premium Section
  • Content from the award-winning Jerusalem Report and our monthly magazine to learn Hebrew - Ivrit
  • A brand new ePaper featuring the daily newspaper as it appears in print in Israel

Help us grow and continue telling Israel’s story to the world.

Thank you,

Ronit Hasin-Hochman, CEO, Jerusalem Post Group
Yaakov Katz, Editor-in-Chief

UPGRADE YOUR JPOST EXPERIENCE FOR 5$ PER MONTH Show me later

CHICAGO - US prosecutors are investigating Deutsche Bank and several other global banks over business linked to Iran, Sudan and other nations currently under international sanctions, the New York Times reported on Saturday.

The US Justice Department and the Manhattan District Attorney's office are investigating the banks for allegedly using US branches to move billions of dollars in Iran-linked transactions, according to the report, citing unnamed law enforcement officials.

Be the first to know - Join our Facebook page.


The investigation into Deutsche Bank is at an early stage and so far there is no suspicion the Germany-based institution moved money on behalf of Iranian clients through American operations after 2008, when a policy loophole allowing such maneuvering closed, the Times reported.

Deutsche Bank decided in 2007 it would "not engage in new business with counterparties in countries such as Iran, Syria, Sudan and North Korea and to exit existing business to the extent legally possible," a spokesman told Reuters on Saturday. He declined to comment further.

The Manhattan District Attorney's office and US Justice Department declined to comment. The US Treasury Department did not immediately respond to a request for comment.

The report of the Deutsche Bank probe came days after a settlement for $340 million with New York's banking regulator and Britain's Standard Chartered Plc. The Manhattan District Attorney and federal authorities have not yet settled their probes of the bank.

That deal with New York Superintendent of Financial Services Benjamin Lawsky was done without agreement with the Manhattan District Attorney's office and federal authorities.

JPOST VIDEOS THAT MIGHT INTEREST YOU:


Reuters has learned that Lawsky ignored the entreaties of federal regulators to drop his own action in favor of a single, global settlement. Although winning a larger settlement than many thought possible, others say Lawsky's tactics have alienated federal officials and could make it tougher for him to partner with them on future cases.

Since 2009 the Manhattan District Attorney, Treasury Department, Justice Department and other agencies have entered into settlements with a handful of foreign banks including Credit Suisse, Lloyds and most recently ING , totaling roughly $1.8 billion.

Authorities have said in the past other foreign banks are under investigation.

Join Jerusalem Post Premium Plus now for just $5 and upgrade your experience with an ads-free website and exclusive content. Click here>>

Related Content

HE BEAUTIFUL buildings in Place des Vosges, Paris
October 21, 2018
Travel: In Paris, Place des Vosges and Victor Hugo

By BEN G. FRANK