Bank in $9bn payout over sanctions row
French bank BNP Paribas has pleaded guilty to two criminal charges and agreed to pay almost $9bn to resolve accusations that it had violated US sanctions against Sudan, Cuba and Iran, in a severe punishment aimed at sending a clear message to other financial institutions around the world.
The BNP Paribas guilty plea is the direct consequence of a broader US Justice Department shift in strategy that is expected to try to snare more major banks for possible money laundering or sanctions violations.
In an unprecedented move, regulators banned BNP for a year from conducting certain US dollar transactions, a critical part of the bank’s global business, in addition to the fine which was a record for violating American sanctions.
US authorities said the severe penalties reflected BNP’s violations going back to at least 2004 and its drive to put profits first.