Following hot on the heels of a US Senate inquiry into money laundering at HSBC, US regulators have landed yet another crippling blow to the shredded reputation of the City of London and its failed regulators.
It has been revealed that Standard Chartered, a global bank based in London, have been systematically falsifying records to hide transfers involving Iranian banks worth over $250 billion, in order to evade US economic sanctions in what has been described as a ‘staggering cover up.’
Standard Chartered now risks having its US banking license revoked.
Move Your Money UK spokesperson Louis Brooke said:
"First HSBC and now Standard Chartered, it is clear that laundering money for oppressive regimes, terrorists and organized crime is bread and butter business for the big banks.
They have shamelessly flouted the law, deceived regulators and broken some of the most fundamental of moral principles.
Politicians can call a change in the culture of our banking industry but that wont come without a change in their business models and the structure of the industry itself.”
The Standard Chartered scandal comes barely a fortnight after it emerged HSBC and its many subsidiaries in offshore tax havens have been courting and laundering money from known terrorist organisations and regimes, including Syria, Iran and Russia, not to mention Mexican drug lords.
The continuing barrage of scandals involving British banks is likely to strengthen calls for a full independent enquiry into the sector. The current Parliamentary enquiry led by Andrew Tyrie MP has already been labeled a whitewash with the exclusion of critical figures including Andrea Leadsom MP.