SocGen Cooperating With U.S. Authorities on Dollar TransfersFabio Benedetti-Valentini
Societe Generale SA, France’s second-largest bank by market value, is cooperating with U.S. authorities looking into dollar transfers for clients in countries targeted by American economic sanctions.
“Societe Generale has started discussions with the Office of Foreign Assets Control,” the Paris-based bank said in its annual report today, without naming the clients or countries involved. The bank said it has begun an internal audit.
Global regulators last month called on banks to strengthen risk management and reinforce oversight in response to recent scandals that have shaken faith in the financial system. A study on lenders by the Financial Stability Board on Feb. 12 found that “significant gaps” persist in risk management.
Banks including JPMorgan Chase & Co., UBS AG and Barclays Plc have been hit by scandals ranging from rogue traders to interest-rate fixing. U.K.-based HSBC Holdings Plc and Standard Chartered Plc both paid fines in the U.S. over failures to halt the laundering of money in sanctioned countries such as Iran.