Venable partner Ed Wilson was quoted in the August 18, 2012 edition of International Financing Review on the $340 million settlement paid to the New York Superintendent of Financial Services by Standard Chartered over transactions linked to Iran. The London-based bank was accused of breaking US sanctions on Iran and hiding Iran-linked transactions totaling $250 billion.
Some transactions with Iran were allowed prior to November 2008 under the “U-turn exemption” which required transactions to meet certain guidelines and not deal with prohibited parties. The charges against Standard Chartered focused heavily on the accuracy of the bank’s records which were missing details of some of the Iranian transactions. “Even if they were legitimate transactions, the manipulation of records makes it appear that they were violating the U-turn exemption,” said Wilson.