Written by James Lang on August 7, 2010 · Filed Under Business, News 

http://www.mns.co.uk/012116209.html

American authorities have begun investigating the US arm of international banking firm HSBC after issues have been raised over compliance with anti-money laundering procedures.

According to the regulatory filings, the US Securities and Exchange Commission (SEC) received subpoenas and various other requests for data as part of a larger probe into the company. The filings posted Monday stated that HSBC said that it was currently the subject of examinations by the Federal Reserve Bank of Chicago’s Office of the Comptroller of the Currency, in addition to the US Attorney’s Office and the US Department of Justice.

The filing also indicates that  the investigation pertains to global banknotes businesses and other foreign correspondence with banking businesses as well as the firm’s compliancy with the Bank Secrecy Act, Office of Foreign Assets Control requirements and Anti-Money Laundering. It adds that HSBC in response to the ongoing investigation has taken steps to address any concerns the government may have in relation to the bank’s infrastructure and operating practices.

A spokesman for HSBC in London confirmed the bank’s comments with a SEC filing that states HSBC plans to fully cooperate with all US authorities in regards to the matter. The US Department of Justice has already sought criminal investigations into some of HSCB’s clients failing to disclose any offshore accounts. HSBC reiterated that it did not condone tax evasion and encouraged its clients to appropriately disclose all information mandated by the government.