After Years of Scrutiny, Record $1.9 Billion Settlement Not the End of Trouble for HSBC

By Brian Monroe

The U.S. government's landmark case against HSBC Holdings Plc for knowingly turning a blind eye to financial crime is seemingly fated to end much as it began: complex and messy. On Tuesday, the U.S. Justice Department, Federal Reserve Board, District Attorney of New York and three agencies operating within the U.S. Treasury Department disclosed $1.92 billion in settlements and penalties against the British bank, one of the largest exporters of the American dollar in the world. The settlement is in addition to $700 million in expected costs to conduct a 5-year review of its know-your-customer files, and the $290 million...