Turkish-Iranian gold trader Reza Zarrab told a jury in a federal court in New York that Turkish President Recep Tayyip Erdogan, who was then the prime minister, personally authorized a transaction on Iran's behalf while the country was under U.S. sanctions, Reuters reported.
The gold trader has also accused former economy minister Zafer Caglayan of accepting a $50 million bribe to further the money laundering scheme. He named Suleyman Aslan, Halkbank's former general manager, as having helped to develop and carry out transactions.
Zarrab is cooperating with prosecutors in the trial of Mehmet Hakan Atilla, a deputy general manager at Turkish state-run lender Türkiye Halk Bankasi AS, who is accused of conspiring to commit bank fraud and violating U.S. sanctions against Iran. Atilla has pleaded not guilty to the charges.
The Turkish government has called the case "fabricated" for political reasons and said that Caglayan acted legally. Halkbank has said that all its transactions complied with regulations.
