HSBC should have done more to vet the anti-money laundering compliance controls of banks it acquired in Mexico and Switzerland, the institution's former chief executive officer told British lawmakers Tuesday. Speaking before the House of Lords' Economic Affairs Committee, Stephen Green acknowledged that, "with hindsight, we should have worked harder on implementation" of due diligence controls at the financial institution's Mexican affiliate, which committed compliance violations that led to a $1.9 billion settlement with U.S. officials in 2012. The bank made similar missteps when acquiring a Swiss financial institution that has since been accused of aiding thousands of wealthy tax...
Global bank HSBC is pressing regulators to allow its investigators to share confidential information across all 70 of its international affiliates to improve anti-money laundering compliance, the head of its threat mitigation unit said.
Federal officials balked at criminally charging HSBC Bank USA in 2012 over concerns that an indictment could harm the global economy and strain relations with the United Kingdom, Republican lawmakers said Monday.
Facing parliamentary criticism, HSBC's top executives conceded Wednesday to "unacceptable" failures of its Swiss private banking unit that led to likely account abuses and subsequent reputational damage.
Criticisms of the U.S. Justice Department's apparent decision to forego indictments of HSBC and its employees misses a larger point: the department probably couldn't have won convictions if it tried, say prosecutors.