State and federal authorities decided against indicting HSBC in a money-laundering case over concerns that criminal charges could jeopardize one of the world’s largest banks and ultimately destabilize the global financial system.
HSBC’s activities are said to have gone beyond claims that the bank flouted United States sanctions to transfer money on behalf of nations like Iran. Prosecutors also found that the bank had facilitated money laundering by Mexican drug cartels and had moved tainted money for Saudi banks tied to terrorist groups.
via HSBC Is Said to Avoid Charges Over Laundering – NYTimes.com. (Emphasis mine)
I always knew it was difficult to regulate the financial industry, but this is just beyond ridiculous. Also insane is the fact that no one on the HSBC staff is being prosecuted. Is this actually happening?