Standard Chartered has been summoned to meet UK regulators over allegations of bribery at an Indonesia power plant builder owned by the bank.
The Financial Conduct Authority (FCA) will meet the bank’s representatives next week to discuss the issues involving Maxpower Group Pte, a person familiar with the situation said, confirming details first reported by the Wall Street Journal. The FCA declined to comment, while the bank could not be reached for comment.
The UK-headquartered bank has been in the firing line over issues at Maxpower for over a year, after an internal audit found that more than $750,000 of the firm’s payments between 2014 and 2015 may have been bribes.
The bank gave the internal audit, and a review by an external law firm about the issues, to regulators in the US, the UK and Singapore.
The US’s Department of Justice began its investigation last September.
The situation in the US carries extra risks because if Standard Chartered were found to be at fault, that could reopen the deferred prosecution agreement (DPA) signed by the bank in 2012 that averted US criminal charges for sanction breaches.