Korean lender agrees to pay US$86 mln in penalties to U.S. over Iran transactions
SEOUL, April 21 (Yonhap) -- South Korean lender Industrial Bank of Korea said Tuesday that it has agreed to pay penalties totaling US$86 million to the U.S. authorities in a settlement that ended a yearslong U.S. probe into illegal U.S. dollar payments from South Korean entities to Iranian ones.
The IBK said it will pay a $51 million penalty to U.S. prosecutors and a $35 million penalty to the New York State Department of Financial Services over its lack of an anti-money laundering program at its branch in New York.
Geoffrey S. Berman, the U.S. Attorney for the Southern District of New York, said IBK's branch in New York failed to detect and report $10 million in illegal U.S. dollar payments from South Korean entities to Iranian ones, as the bank failed to institute an effective anti-money laundering program.
"Banks conducting business in the U.S. have a responsibility to ensure that they establish safeguards against the exploitation of the banking system by sanctioned entities that foster, promote, or engage in terrorism," Berman said in a statement posted on the website of the U.S. Attorney's Office for the Southern District of New York.
Berman said assuming IBK's continued compliance with the agreement, the U.S. government has agreed to defer prosecution for a period of two years, after which time the U.S. government will seek to dismiss the charges.
IBK said it "will continue to make efforts to effectively improve and maintain its compliance system, including anti-money laundering, in consultations with relevant domestic and foreign authorities."
entropy@yna.co.kr
(END)
-
(News Focus) Display, electronics makers dealt blow by COVID-19 lockdowns in China
-
BTS to meet Biden at White House to discuss anti-Asian hate crimes
-
(URGENT) Russian, Chinese warplanes enter S. Korea's air defense zone without notice: JCS
-
Multiple Russian, Chinese warplanes enter KADIZ without notice: JCS
-
Premier League Golden Boot winner Son Heung-min receives hero's welcome home
-
(LEAD) Multiple Russian, Chinese warplanes enter KADIZ without notice: JCS
-
(News Focus) Display, electronics makers dealt blow by COVID-19 lockdowns in China
-
With historic Golden Boot, Son Heung-min cements case as greatest S. Korean footballer ever
-
(URGENT) Russian, Chinese warplanes enter S. Korea's air defense zone without notice: JCS
-
(LEAD) Supreme Court rules against peak wage system
-
Supreme Court orders life sentence for man convicted of raping, killing 20-month-old baby
-
Former rhythmic gymnast Son Yeon-jae to wed in August
-
Seoul to resume late-night subway service starting next month
-
(LEAD) S. Korea's new COVID-19 cases below 20,000 for 3rd day as pandemic slows down
-
(LEAD) N. Korea's new fever cases fall below 100,000: official data