Shares of the bank Standard Chartered PLC plummeted after investors learned that the United States had accused the bank of involvement in money laundering activities for Iran, Time Business reported.
On the London Stock Exchange, the price of Standard Chartered stock dropped by almost 20%, and on the Hong Kong Stock Exchange they dropped by about 16.5%.
The trading losses occurred after the New York State Department of Financial Services leveled accusations at the bank of having collaborated with the government of Iran between 2001 and 2007 to launder a quarter of a trillion dollars.
The bank rejected the charges out of hand, insisting that an overwhelming majority of its transactions with the Iranian government were completely above board, and that any irregularities amounted to no more than approximately $14 million, a far cry from $250 billion. Bank representatives are expected to appear in New York next Wednesday to defend its reputation, according to Time Business.