Analysts Warn That HSBC’s Money-Laundering Fine In U.S. Could Amount To $1 Billion

Even if that amount exceeds HSBC’s rake from illegal drug-peddling activities, the bank isn’t troubled in the least, since it can easily cover the fine with the $3.5 billion backdoor bailout it received as an AIG counterparty.

That leaves $2.5 billion net for candy, strippers and bonuses.

FT

HSBC said in its 2011 annual report that fines relating to money laundering issues could be “significant”. There has been speculation among analysts that the bank could be hit with a higher charge than the $619m ING, the Dutch bank, agreed to pay to settle accusations it violated US sanctions by helping Iranian and Cuban companies move billions of dollars through the US financial system.  Some have suggested it could be as much as $1bn.

Mr Gulliver warned that HSBC was likely to face further action from other US authorities in coming months.

h/t Cheyenne

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Related:

• Bailed-Out Behemoth HSBC To Apologize At U.S. Senate Hearing For Terrorist Money Laundering

Comments

[mick]

When do we start sharpening the guillotines ?


http://www.avaaz.org/en/bankers_behind_bars_f/?bJBmXbb&v=15973

[S. Gompers]

A former employee of HSBC in New York has 1,000 pages of customer account records he claims are evidence of an international money-laundering scheme involving hundreds of billions of dollars by HSBC.

A mere billion dollar fine could be considered just a tax or the cost of doing business...

[Cheyenne]

Gomp--

Yup. Here's a link to the guy with the docs and the docs themselves. Ugly stuff...

http://www.wnd.com/2012/05/banking-giant-hsbc-a-criminal-enterprise/

[Howard T. Lewis III]

The fine will be paid in derivative scrip and accepted as gold.

[mick]

When does the " War on Psychopaths" start ?