Photo: AP Images
A little known state regulator came out with some very serious allegations yesterday against a U.K.-based bank. The New York Department of Financial Services alleged that Standard Chartered bank helped facilitate hundreds of billions of dollars worth of transactions for Iran, which is currently sanctions by the U.S., and now it could lose its banking licence in the state.
We haven’t really heard much about NYDFS until now, but the state regulator has certainly put itself on the map in a big way yesterday.
Here’s what we know about NYDFS.
- The New York State Department of Financial Services was created in 2011 after combining the the New York State Insurance Department and the New York State Banking Department.
- NYDFS, which debuted on October 3, 2011, regulates banks and insurers subject to the New York Insurance and Banking Laws
- There are 700 people working for the state agency and it oversees 3,900 banks, insurers and New York-based operations of foreign banks, etc., according to the Wall Street Journal.
- The state agency is headed by former federal prosecutor Benjamin Lawsky, who was unanimously confirmed as the Superintendent of Financial Services in May of 2011. He was formerly an assistant U.S. Attorney and a special assistant to Governor Cuomo.
- Last October, when the agency officially opened its doors, Lawsky said he was planning to put the NYDFS on the map, according to the Wall Street Journal. He certainly has with this bombshell allegation.