The 2nd US Circuit Court of Appeals has denied Halkbank’s request for immunity from US criminal charges alleging that the bank helped Iran to evade American sanctions, highlighting the accountability of foreign state-owned corporations under US law.
On Tuesday, the 2nd US Circuit Court of Appeals dismissed Turkey’s state-owned bank, Halkbank’s, plea for immunity against United States criminal charges concerning allegations that it facilitated Iran’s evasion of US sanctions. The court concluded that there are no grounds in common law that would grant a foreign state-owned enterprise blanket immunity from prosecution for purported criminal activities that are linked to its commercial operations.
The legal issues surrounding Halkbank stem from extensive international sanctions imposed by the United States on Iran, aimed at curbing its nuclear program and other malign activities. Despite the sanctions, authorities allege that Halkbank engaged in transactions that assisted Iran in circumventing these measures. The court’s decision signifies a broader implication for foreign state-owned entities operating within US jurisdiction, reaffirming that such corporations may be held accountable under US law for criminal conduct.
In summary, the recent ruling by the 2nd US Circuit Court of Appeals underscores the legal challenges faced by foreign state-owned enterprises like Halkbank in dealing with US sanctions. The court affirmed that these entities are not exempt from US criminal prosecution, thereby setting a significant precedent for future cases involving foreign financial institutions implicated in sanction violations.
Original Source: www.jpost.com
