US Refused To Prosecute HSBC Over Fears Of “Global Financial Disaster”

• US Refused To Prosecute HSBC Over Fears Of “Global Financial Disaster”
  by Tyler Durden, www.zerohedge.com  
  What had previously only been hinted by the likes of former US attorney general Eric Holder who infamous said some banks are “too big to prosecute” shortly before resigning, became fact when a US Congressional report found that US officials refused to prosecute HSBC for money laundering in 2012 because of concerns within the DOJ that it would cause a “global financial disaster.”  The report also revealed that UK officials, including Chancellor George Osborne, added to pressure by warning the US it could lead to market turmoil. The report alleges the UK “hampered” the probe of the most systemically important UK bank, and “influenced” the outcome.
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  As BBC reminds us, some four years ago HSBC was accused of letting drug cartels use US banks to launder funds. The bank, which has its headquarters in London, paid a $1.92bn settlement but did not face criminal charges; likewise all top officials at HSBC avoided any charges.
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  According to the report “George Osborne, Chancellor of the Exchequer, the UK’s chief financial minister, intervened in the HSBC matter by sending a letter to Federal Reserve Chairman Ben Bernanke… to express the UK’s concerns regarding US enforcement actions against British banks.” The letter said that prosecuting HSBC could have “very serious implications for financial and economic stability, particularly in Europe and Asia”.
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