trending Market Intelligence /marketintelligence/en/news-insights/trending/a-cigm_t_wgstfisaqzaka2 content
Log in to other products

Login to Market Intelligence Platform

 /


Looking for more?

Contact Us
In This List

SocGen expects to pay €1.1B in penalties over US sanctions

Banking Essentials Newsletter - November Edition

University Essentials | COVID-19 Economic Outlook in Banking: Rates and Long-Term Expectations: Q&A with the Experts

Estimating Credit Losses Under COVID-19 and the Post-Crisis Recovery

StreetTalk – Episode 70: Banks' Liquidity Conundrum Could Fuel M&A Activity


SocGen expects to pay €1.1B in penalties over US sanctions

Société Générale SA expects to pay about €1.1 billion to resolve a dispute with U.S. authorities over transactions involving countries subject to U.S. sanctions "within the coming weeks."

The U.S. Treasury Department's Office of Foreign Assets Control, the U.S. Attorney's Office of the Southern District of New York, the New York County District Attorney's Office, the Federal Reserve Board and the Federal Reserve Bank of New York, and the New York State Department of Financial Services have been investigating SocGen regarding certain U.S. dollar transactions processed by the bank involving countries subject to economic sanctions.

The French banking group said it has entered into a phase of "more active" discussions with the authorities, with a view to reaching an agreement to settle the issue over the next few weeks.

The lender has provisioned a total of €1.43 billion for disputes, and of that figure, roughly €1.1 billion has been allocated to the sanctions case. SocGen said it expects the penalties related to the sanctions case to be almost entirely covered by the provisions it has allocated for the issue.

In June, SocGen settled two outstanding legal issues — one related to the alleged rigging of benchmark interest rates and the other to transactions with the Libyan Investment Authority.