Supreme Court Denies Bid to Revive Standard Chartered Fraud Suit

The US Supreme Court on Monday rejected a whistleblower’s petition seeking to reinstate its lawsuit accusing Standard Chartered Bank of violating sanctions against Iran.

Brutus Trading LLC says Standard Chartered violated the False Claims Act by misleading the US government by concealing violations of the Iran sanctions regime before entering into a deferred prosecution agreement.

Standard Chartered’s deliberate use of “flaws” in electronic records to beat its own suspicious transaction detection system allowed the bank to avoid paying money to the government it was required to and are reverse false claims under the FCA, Brutus contends.

The Justice Department’s decision ...