Cross-Border Proposal, Compliance Concerns Spurring Banks to Drop U.N. Mission Accounts

By Brian Monroe

Regulatory pressure and a pending Treasury Department proposal that would require greater reporting of cross-border transfers have prompted some banks to drop the accounts of embassy and foreign mission clients. JPMorgan Chase, Bank of America, HSBC Group and Citigroup have either dropped or are considering dropping the accounts of permanent United Nations missions, according to reports by the Associated Press Tuesday and The Wall Street Journal in November. A total of 40 missions have been affected by the moves, U.S. State Department officials told The Wall Street Journal. The banks are motivated, in part, by proposed cross-border regulations published by...