The British bank Standard Chartered has been hit with fines totalling $1.1bn for sanctions breaking and money laundering. For Standard Chartered Bank (SCB), an emerging-markets specialist lender with no retail presence in the U.K. or U.S., this is a substantial penalty. In 2004, it signed a “Written Agreement” with the Federal Reserve and New York regulator which specified changes it must make to its procedures to comply with anti-money laundering laws. These fines, plus $164m from the Federal Reserve and £102.2m ($134.47m) from the UK.’s Financial Conduct Authority, together make up the largest financial penalty ever imposed on SCB. The lesson from this is that financial penalties alone are insufficient to deter banks from criminal activity.

Source: Forbes April 10, 2019 12:45 UTC