Banking & Money Laundering Risk
Iranian financial institutions remain locked out of the U.S. financial system, and therefore cut off from much of the global financial system. International banks have been hit with $14 billion in fines since 2009 for violating U.S. sanctions on Iran. The U.S. continues to designate the entire Iranian financial sector as a jurisdiction of primary money laundering concern under Section 311 of the USA PATRIOT Act and the 2012 National Defense Authorization Act.
With the serious money laundering issues in Iran, the risks associated with banking in Iran, and therefore business broadly, continue to be significant, as strong penalties remain for those institutions that directly or indirectly facilitate prohibited transactions.