Bank of Cyprus Closes U.S. Operations on Heels of Lawsuit

By Brian Orsak and Brian Monroe

Bank of Cyprus is closing its U.S. operations, banking regulators and a bank spokesman said Tuesday. The New York State Banking Department said the Nicosia, Cyprus-based bank, which has branches in the U.K., Greece and Australia, returned its banking license on Jan. 18. The move comes three months after the U.S. Justice Department sued the Bank of Cyprus over claims that it aided a Cypriot fugitive launder proceeds from an insider trading scheme. Bank of Cyprus had decided to close its U.S. operations for "business related reasons" prior to the filing of the lawsuit on Oct. 15, said John Fellas,...