Deutsche Boerse AG (DB1.XE) said Wednesday its Clearstream subsidiary will enter settlement talks with the U.S. Treasury Department Office of Foreign Assets Control regarding potential violation of U.S. sanctions on Iran which could result in a $340 million penalty.
The OFAC’s preliminary views are that “apparent violations of U.S. sanctions may have occurred in 2008” and that a penalty could amount to approximately $340 million, the German stock exchange operator said.
It added it continues to believe that its clearing and settlement division complied with any applicable U.S. sanctions and that it considers the preliminary penalty figure “to be unwarranted and excessive.”
Clearstream will now engage in discussions with OFAC on the facts and reasons why a penalty should not be imposed or, if a settlement payment is agreed upon, why it should be far lesser amount.
Deutsche Boerse AG is prepared to provide all necessary support in order for Clearstream to meet its financial and regulatory requirements and to maintain its strong financial profile should this become necessary under such settlement.
By Fox Business
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