News
Arab Bank Liable for Terrorist Accounts, Jury Rules
By Colby Adams and Kira Zalan
printIn the first trial of its kind, a federal court said Monday that Arab Bank is liable for deaths caused by Hamas and a Saudi charity that used its accounts to reward terrorism. A jury in the Eastern District of New York ruled in the decade-old case that the Amman-based financial institution should pay the families of individuals killed by Hamas in reparation for providing banking services to the group's leaders and facilitating payments to relatives of suicide bombers. Using Arab Bank accounts, the Saudi Committee in Support of the Intifada Al Quds offered the payments as a reward to...
TO READ THE FULL STORY
Subscribe
Learn More
Related News
Arab Bank argues that the Hamas members it processed transactions for weren't blacklisted, banks offer mixed messaging on marijuana accounts, and more, in this week's news roundup.
Argentina's tax enforcer raided the offices of HSBC in Buenos Aires as part of a money laundering probe, Canada is in the processing of creating a single, comprehensive sanctions list, and more, in this week's roundup.
Former South Carolina state representative Larkin Thaddaues Viers is accused of attempting to hide funds belonging to a convicted money launderer, Americans living abroad continue to renounce their U.S. citizenship possibly due to FATCA, and more, in the midweek roundup.
The top U.S. court Monday rejected a petition by Arab Bank seeking to shield it from potential penalties for not turning over records to plaintiffs claiming the institution had terrorist clients.
A Dutch businessman agreed to pay 34.5 million euros to the Netherlands for operating First Curacao International Bank without a license, a San Antonio, TX man pleaded guilty to running an illegal money transmitter, and more, in this week's roundup.
A decision by the U.S. Second Circuit Court of Appeals affirming sanctions against Jordan's largest bank for not turning over data on suspicious accounts could leave some financial institutions with an unwanted choice, say attorneys.
A ruling by a U.S. District Court dismissing a case against a Jordanian bank accused of supporting Hamas won't likely resolve whether banks are liable for the terrorist actions of clients they no longer serve.
A U.S. District Court judge's decision this week to allow a jury to assume that a Jordanian bank knowingly processed transactions funding suicide bombings could galvanize separate lawsuits targeting banks.
A federal court's dismissal of a two-year old lawsuit against five Lebanese banks for allegedly providing financial services to Hizbollah could impact lawsuits against other banks facing similar cases.
It can be difficult to get even the most basic information about customers and their businesses when compliance officers try to assess those customers' risks and determine what level of due diligence they require, according to bankers and consultants doing business in the Middle East.
The Treasury's Office of Foreign Assets Control said June 20 that U.S. companies can do business with the Palestinian Authority government headed by Prime Minister Salam Fayyad and President Mahmoud Abbas of the Fatah party. The U.S. had restricted certain financial transactions.
Families of suicide bombing victims say a U.S. judge's decision allowing a class-action lawsuit against a Middle Eastern bank sends a clear message that financial institutions can be held accountable for terrorist acts committed on foreign soil.