HBL Pakistan controversies
Controversies tied to this brand in public sources. A listing is not a finding of fault.
Back to profile5 entries
2022
Terrorism-related civil litigation
A New York court order allowed claims under the Justice Against Sponsors of Terrorism Act against HBL to proceed. The claims alleged that the bank aided and abetted terrorism; HBL rejected the allegations as meritless and said it was defending the case.
2022
Terror-financing litigation
Plaintiffs in a United States case alleged that HBL aided and abetted Al-Qaeda-related terrorism. HBL denied the allegations, described them as meritless, and said it was contesting the case.
2020
FinCEN Files disclosure
HBL was mentioned in reporting based on leaked FinCEN documents concerning suspicious transactions and the role of banks in identifying possible money laundering.
2019
Pakistan's central bank fines Habib Bank Limited
Fine or penalty
In a regulatory action, the State Bank of Pakistan imposed a penalty of Rs. 35.6 million on Habib Bank Limited. According to the cited report, the central bank attributed the penalty to deficiencies mainly in foreign trade operations and in customer due diligence. The action was reported as a fine for multiple violations. The event concerns a regulatory penalty against the bank; the source summary does not specify further details beyond the amount, the cited areas of deficiency, and the nature of the action.
Company response
Investigation — Habib Bank Limited
The Bank filed a complaint with the law enforcement agencies to investigate the matter and take action. An FIR has been registered. An investigation is underway by the law enforcement authorities.
Source excerpt
State Bank of Pakistan (SBP) has imposed a penalty of Rs. 35.6 million on Habib Bank Limited. The central bank stated that the monetary penalty was imposed mainly for deficiencies in the areas of foreign trade operations and customer due diligence.
The Bank filed a complaint with the law enforcement agencies to investigate the matter and take action. An FIR has been registered. An investigation is underway by the law enforcement authorities.
2017
New York anti-money-laundering and compliance case
New York State regulators alleged numerous deficiencies in HBL's transaction-monitoring, sanctions-screening, anti-money-laundering and risk-management systems. HBL settled for US$225 million and surrendered its New York branch licence. The New York State Department of Financial Services alleged numerous compliance failures involving transaction monitoring, customer due diligence, sanctions controls, and risk management. HBL agreed to a US$225 million settlement and surrendered its New York branch licence.