April 20, 2020

The Industrial Bank of Korea will pay $86 million as part of a deferred prosecution agreement resolving claims arising from the bank’s processing of more than $1 billion of transactions between Korean entities to Iranian entities in violation of economic sanctions law under the International Emergency Economic Powers Act. The bank admitted that it failed to institute an adequate and effective anti-money laundering program despite repeated warnings by its New-York based compliance officer.  The bank will pay a $35 million to the State of New York and forfeit $51 million to the U.S.  USAO SDNY; NY

Tagged in: Criminal Proceedings, Financial and Investment Fraud, Financial Institution Fraud, Money Laundering,