Current:Home > ScamsUK fines HSBC bank for not going far enough to protect deposits in case it collapsed-DB Wealth Institute B2 Expert Reviews
UK fines HSBC bank for not going far enough to protect deposits in case it collapsed
View Date:2024-12-24 00:50:51
LONDON (AP) — HSBC, Europe’s biggest bank, has been fined 57.4 million pounds ($72.8 million) for failing to adequately protect customer deposits in the event that the bank collapsed, U.K. regulators said Tuesday.
Two units of London-based HSBC Holdings Plc violated rules designed to ensure regulators have the information they need to protect depositors when banks fail, said Britain’s Prudential Regulation Authority, which is part of the Bank of England.
The penalty is the second-biggest ever imposed by the agency, behind only the 87 million pound fine last July against Credit Suisse following the Swiss bank’s near-collapse and emergency takeover by rival UBS.
The HSBC violations, which occurred between 2015 and 2022, included a failure to accurately identify deposits eligible for protection under a U.K. program that guarantees bank deposits up to 85,000 pounds ($107,800) for individuals, the bank regulator said.
“The serious failings in this case go to the heart of the PRA’s safety and soundness objective,” Sam Woods, chief executive of the Prudential Regulation Authority, said in a statement. “It is vital that all banks comply fully with our requirements around preparedness for resolution.”
HSBC cooperated with the investigation and agreed to settle the case, the authority said. Without this cooperation, the fine would have been 96.5 million pounds ($122.4 million).
The bank said it was “pleased” to resolve the matter.
“The PRA’s final notice recognizes the Bank’s co-operation with the investigation, as well as our efforts to fully resolve these issues,” HSBC said in a statement.
veryGood! (87)
Related
- John Krasinski is People's Sexiest Man Alive. What that says about us.
- Eviction prevention in Los Angeles helps thousands, including landlords
- Clint Eastwood's Daughter Morgan Gives Birth, Welcomes First Baby With Tanner Koopmans
- Off the Grid: Sally breaks down USA TODAY's daily crossword puzzle, Open Bar
- Let Demi Moore’s Iconic Fashion Give You More Inspiration
- Padres-Dodgers playoff game spirals into delay as Jurickson Profar target of fan vitriol
- Aw, shucks: An inside look at the great American corn-maze obsession
- New York Liberty end Las Vegas Aces' three-peat bid, advance to WNBA Finals
- RHOP's Candiace Dillard Bassett Gives Birth, Shares First Photos of Baby Boy
- Meghan Markle Turns Heads in Red Gown During Surprise Appearance at Children’s Hospital Gala
Ranking
- Republican Vos reelected as Wisconsin Assembly speaker despite losing seats, fights with Trump
- Opinion: Trading for Davante Adams is a must for plunging Jets to save season
- Krispy Kreme scares up Ghostbusters doughnut collection: Here are the new flavors
- Amari Cooper pushes through frustrations, trade rumors as Browns continue to slide
- Taking stock of bonds: Does the 60/40 rule still have a role in retirement savings?
- Verizon says network disruption is resolved; FCC investigating outage
- Old Navy’s Cozy Szn Sale Includes $24 Sweaters, $15 Joggers & More Fall-Ready Staples Up to 68% Off
- TikToker Taylor Rousseau Grigg’s Husband Speaks Out After Her Death
Recommendation
-
USMNT Concacaf Nations League quarterfinal Leg 1 vs. Jamaica: Live stream and TV, rosters
-
Texas still No. 1 in US LBM Coaches Poll but rest of college football top 10 gets reshuffling
-
Rake it or leave it? What gross stuff may be hiding under those piles on your lawn?
-
32 things we learned in NFL Week 5: Streaks end, extend in explosive slate of games
-
As the transition unfolds, Trump eyes one of his favorite targets: US intelligence
-
Donald Glover cancels Childish Gambino tour dates after recent surgery
-
Florida prepares for massive evacuations as Hurricane Milton takes aim at major metro areas
-
NFL games today: Start time, TV info for Sunday's Week 5 matchups