Standard Chartered settles £1.5bn lawsuit over Iran sanctions breaches
Standard Chartered settled a £1.5bn lawsuit with investors alleging misleading statements regarding Iran sanctions breaches.Summary
Standard Chartered has settled a £1.5bn lawsuit brought by over 200 claimants representing 1,400 investment funds. The investors accused the bank of issuing misleading statements and omitting crucial information about its compliance with US sanctions on Iran, leading to investment losses. The settlement occurred after the Court of Appeal ruled the bank must disclose sensitive documents, a move Standard Chartered resisted due to potential regulatory and criminal repercussions. While the bank maintains it did not admit liability, the settlement is not considered material to its financial position. This case is part of a growing trend of shareholder lawsuits in the UK, similar to those common in the US, seeking compensation for share price declines. Previously, in 2019, Standard Chartered paid $1.1bn to settle charges from US and UK authorities for violating Iran sanctions, and investors in this civil case argued the misconduct was more extensive than previously acknowledged, alleging a “systemic course of conduct” in its Iran business.
(Source：Financial Times)