ID :
193261
Wed, 07/06/2011 - 13:45
Auther :
Shortlink :
https://oananews.org//node/193261
The shortlink copeid
SC First Bank punished for illegal metal loan service
SEOUL, July 6 (Yonhap) -- South Korea's financial watchdog said it has decided to penalize SC First Bank for its violations of local banking laws such as the illegal handling of metal loan services to corporate customers.
The Financial Supervisory Service (FSS) said it has decided to impose fines worth of 4.5 million won (US$4,225.35) and punish 12 officials of the South Korean unit of Standard Chartered Plc as the bank violated regulations on metal lending and made other irregularities.
Metal lending refers to a financial service in which a bank lends metal to a corporate client and earns commission fees in return. Under the local banking laws, Korean banks are banned from lending metals or raw materials other than golds.
The FSS said it found that SC First Bank pocketed around $600,000 in commission by lending platinum and palladium to six corporate clients between 2007 and 2010.
The Financial Supervisory Service (FSS) said it has decided to impose fines worth of 4.5 million won (US$4,225.35) and punish 12 officials of the South Korean unit of Standard Chartered Plc as the bank violated regulations on metal lending and made other irregularities.
Metal lending refers to a financial service in which a bank lends metal to a corporate client and earns commission fees in return. Under the local banking laws, Korean banks are banned from lending metals or raw materials other than golds.
The FSS said it found that SC First Bank pocketed around $600,000 in commission by lending platinum and palladium to six corporate clients between 2007 and 2010.
