PricewaterhouseCoopers to pay £14m over Bank of Tokyo-Mitsubishi UFJ report

Skyscrapers - Wall Street

PricewaterhouseCoopers has agreed to pay $25m and its regulatory advisory unit will abstain from certain consulting work for New York-regulated banks for two years to settle accusations that it sanitized a report about sanctions-related controls at Bank of Tokyo-Mitsubishi UFJ, according to people familiar with the matter.

Reuters reports New York's Department of Financial Services, which regulates banks in the state, is expected to announce the agreement with PwC on Monday, one person said. The person declined to be identified as the matter is not yet public.

In June 2013, Bank of Tokyo-Mitsubishi agreed to pay $250m to New York State for deleting information from $100bn in wire transfers that authorities could have used to police transactions with Iran and other sanctioned countries.

At issue with Bank of Tokyo-Mitsubishi were 28,000 transactions the bank processed through New York between 2002 and 2007.

PricewaterhouseCoopers was engaged as a consultant to the bank for a year starting June 2007, the person said. In the 11th month of the engagement, the firm found that the bank had a policy to strip out wire information for sanctioned clients including Iran, Sudan and Myanmar.

Miles Everson, PricewaterhouseCoopers, US Advisory Leader said: 'This matter relates to a single engagement completed more than six years ago in which PwC searched for and identified relevant transactions that were self-reported to regulators by PwC’s client. PwC's detailed report also disclosed the relevant facts that PwC learned subsequent to its search process.

'PwC is proud of its long history of contributing to the safety and soundness of the financial system by serving as subject matter experts in banking regulatory and compliance matters and the firm is committed to improving continuously and meeting changes in regulatory expectations. This resolution reinforces that commitment'.

Hit the link below to access the complete Reuters article:

PwC to pay NY $25 million over work with Bank of Tokyo-Mitsubishi

European shares bounce back; eyes on Ukraine

JefferiesAnd the Best Place to Work in the global financial markets 2018 is...

Register for HITC Business News