ING Bank N.V. (“ING”) has agreed to settle potential civil liability for apparent violations of: the Cuban Assets Control Regulations (“CACR”), 31 C.F.R. part 515; the Burmese Sanctions Regulations (“BSR”), 31 C.F.R. part 537; the Sudanese Sanctions Regulations (“SSR”), 31 C.F.R. part 538; the now-repealed Libyan Sanctions Regulations (“LSR”), 31 C.F.R. part 550; and the Iranian Transactions Regulations (“ITR”), 31 C.F.R. part 560. ING’s settlement with the Office of Foreign Assets Control (“OFAC”) is part of a global settlement among ING, OFAC, the U.S. Department of Justice, and the New York County District Attorney’s Office. The bank agreed to settle with OFAC the apparent violations of OFAC regulations, which OFAC determined were egregious, for $619,000,000, with the obligation deemed satisfied by a payment of $619,000,000 to the Department of Justice and the New York County District Attorney’s Office.
ING processed 20,452 wire transfers, trade finance transactions, or travelers checks totaling approximately $1,654,657,318 between October 22, 2002, and July 6, 2007, involving Cuba in apparent violation of the CACR. The total base penalty for this set of apparent violations was $636,450,000. ING processed 41 wire transfers and trade finance transactions totaling approximately $15,469,938 between December 26, 2003, and September 6, 2007, in apparent violation of the BSR. The total base penalty for this set of apparent violations was $19,919,545.
ING processed 44 wire transfers and trade finance transactions totaling approximately $1,976,483 between January 14, 2004, and December 11, 2006, in apparent violation of the SSR.
The total base penalty for this set of apparent violations was $6,531,899. ING processed three wire transfers totaling approximately $26,803 between January 13, 2004, and April 27, 2004, involving the Government of Libya or Libyan persons in apparent violation of the now-repealed LSR. The total base penalty for these apparent violations was $375,000. On or about February to March, 2004 and on October 27, 2004, ING processed two trade finance transactions in the aggregate amount of $1,358,000, in apparent violation of the ITR. The total base penalty for
these apparent violations was $2,716,000.
The above-referenced apparent violations involved ING’s commercial banking offices in The Netherlands, Belgium, France, Curacao, and Cuba, and did not involve ING’s insurance or banking operations in the United States. ING voluntarily self-disclosed all of these apparent violations under the terms of OFAC’s Economic Sanctions Enforcement Guidelines (“the Guidelines”) except for the February to March, 2004, apparent violation of the ITR, which ING
did not voluntarily self-disclose. The statutory maximum penalty in this case was $1,673,488,542.04. The total base penalty amount under the Guidelines for all apparent violations was $665,992,444.
Detailed settlement agreement between OFAC and ING: click here
Detailed press release from Department of Justice: click here