Credit Agricole will pay as much as $800m to settle a U.S. probe into violations of sanctions against Iran and Sudan as soon as this week, according to two people briefed on the matter.
Bloomberg News reports that the deal will feature a deferred-prosecution agreement with the U.S. Justice Department, allowing the French bank to avoid a criminal conviction while admitting it broke U.S. laws a decade ago by handling business involving parties from the blacklisted countries, the people said.
In the meantime, Bloomberg reports that Barclays will pay $325m to settle a U.S. regulator’s allegations that it misled credit unions in the sale of mortgage-backed securities.
The accord resolves 2012 lawsuits that the National Credit Union Administration filed against a U.S. investment-banking unit of the London-based lender. The regulator accused the Barclays unit of selling more than $555m of securities to U.S. Central Federal Credit Union and Western Corporate Federal Credit Union, while misleading the buyers about the quality of the underlying loans.
Finally, Bloomberg also reports that Credit Suisse inflated an appraisal so it could sell a Nevada land deal to Highland Capital Management LP, a Texas judge said, in supporting his earlier award of $287.5m to Highland.
The judge’s explanation of his September ruling backed Highland’s claim that one of its affiliates was bamboozled by Credit Suisse through a faulty appraisal. Highland blamed Credit Suisse for losses on a $540m refinancing of Lake Las Vegas, a resort that went bankrupt in 2008.