Associated Press, 02.11.11, 07:11 AM EST 

http://www.forbes.com/feeds/ap/2011/02/11/business-ml-lebanese-bank-money-laundering_8303698.html

BEIRUT -- The governor of Lebanon's Central Bank says a local bank the U.S. government claims was involved in money laundering abides by local and international laws.

Riad Salameh was quoted by the state-run National News Agency on Friday as saying that the Lebanese Canadian Bank SAL has the "absolute support of the Central Bank."

The U.S. Treasury Department on Thursday had designated LCB a "primary money laundering concern," claiming it helped launder up to $200 million a month for a Lebanese-based drug smuggling with ties to the militant Hezbollah group.

Salamaeh said the bank has a "highly professional" administration and maintains high liquidity.

Lebanon is famed for its banking secrecy laws.