HSBC accused of funding terrorism and drug cartels

HSBC Holdings Plc (HSBA) did business with firms linked to terrorism, let money-laundering safeguards in its Mexico operations erode and circumvented U.S. sanctions against Iran, according to U.S. Senate investigators.

Permanent Subcommittee on Investigations released a 335-page report today detailing a decade of lax controls that allowed HSBC affiliates around the world to give terrorists, drug cartels and other criminals a portal into the U.S. financial system. Lawmakers plan to question senior executives from Europe’s largest bank at a hearing tomorrow.

Source