The U.S. Supreme Court has declined to hear an appeal by Turkiye Halk Bankasi (Halkbank), effectively allowing the sanctions evasion case against the Turkish state-owned bank to proceed.
Halkbank is accused of helping Iran bypass U.S. sanctions by using gold trades and fraudulent humanitarian aid transactions. Prosecutors allege the scheme enabled Iran’s government, central bank, and national oil company to access billions of dollars in restricted funds.
The bank argued that it was protected from prosecution under U.S. common law sovereign immunity, but the Second Circuit Court of Appeals rejected that claim. With the Supreme Court refusing to take up the case, the matter now returns to a U.S. District Court for further proceedings.
This marks another legal setback for Halkbank. In 2023, the Supreme Court had already ruled that the bank does not have immunity under U.S. statutory law.
Halkbank is accused of helping Iran bypass U.S. sanctions by using gold trades and fraudulent humanitarian aid transactions. Prosecutors allege the scheme enabled Iran’s government, central bank, and national oil company to access billions of dollars in restricted funds.
The bank argued that it was protected from prosecution under U.S. common law sovereign immunity, but the Second Circuit Court of Appeals rejected that claim. With the Supreme Court refusing to take up the case, the matter now returns to a U.S. District Court for further proceedings.
This marks another legal setback for Halkbank. In 2023, the Supreme Court had already ruled that the bank does not have immunity under U.S. statutory law.
