Reuters, May 26, 2016 – Shares in Turkey’s state-run Halkbank fell more than 3 percent on Thursday over concern about developments in a case brought by U.S. prosecutors against a Turkish-Iranian businessman.
U.S. prosecutors late on Wednesday opposed gold trader Reza Zarrab’s request to be released from custody on bail while he awaits trial for conspiring to violate U.S. sanctions against Iran, saying his wealth makes him a flight risk.
Prosecutors pointed to Zarrab’s 2013 arrest in Turkey on charges that he bribed high-level officials to facilitate transactions benefiting Iran. Halkbank’s general manager at the time was also accused but not charged in the 2013 Turkish investigation, which was later dropped.
The lender issued a statement to the Istanbul stock exchange in March saying it was not involved in the U.S. investigation.