BNP Paribas, France’s largest and the world’s fourth largest bank, agreed to plead guilty and pay an $8.9 billion penalty for conspiring to violate U.S. economic sanctions by transferring billions of dollars through the U.S. financial system on behalf of Sudan, Iran, and Cuba–all blacklisted by the U.S. According to the U.S. DOJ, BNP Paribas concealed these prohibited transactions using various schemes such as setting up “satellite banks,” routing illegal payments through third party financial institutions, and instructing other financial institutions not to mention the name of sanctioned entities in payments sent through the U.S. While the bank’s illegal conduct mainly occurred between 2002 and 2009, some stretched into 2012, well after the government had begun investigations. This is the first time a global bank has agreed to plead guilty to such large-scale violations of U.S. economic sanctions.

BNP Paribas also pled guilty in New York State Supreme Court to falsifying, and conspiring to falsify, business records. The New York State Department of Financial Services announced that BNP Paribas agreed to terminate the Group Chief Operating Officer and other bank employees; suspend U.S. dollar clearing operations through its New York Branch and other affiliates for one year; and pay a cash penalty of $2.2434 billion to the Department of Financial Services. The investigation into BNP Paribas began with a whistle-blower tip to the Manhattan District Attorney’s Office.

Read the entire DOJ press release, “BNP Paribas Agrees to Plead Guilty and to Pay $8.9 Billion for Illegally Processing Financial Transactions for Countries Subject to U.S. Economic Sanctions”
Read the article, “BNP Paribas Expected to Plead Guilty and Pay $8.9 Billion Fine”