WASHINGTON (AP) — The Justice Department says that British bank HSBC intentionally allowed prohibited transactions with Iran, Libya, Sudan and Burma.
In court papers filed Tuesday, the federal government also said the bank facilitated transactions with Cuba in violation of the Trading With the Enemy Act.
The documents in federal court in Brooklyn say the prohibited transactions took place from 2001 through 2006.
The government's allegations come as HSBC has agreed to pay $1.9 billion to settle the U.S. money-laundering probe. The move avoids a legal battle that could further savage the bank's reputation and undermine confidence in the global banking system.