A fine for anti-money laundering breaches could cost HSBC $1.5 billion, the company said Monday. HSBC said it has set aside $800 million in reserve against a potential fine, on top of the $700 million the company put aside in July. The U.S. Senate released a report over the summer that said the European bank had allowed shady funds from Mexico, Iran, Saudi Arabia, and other countries to shift between clients. “The report undoubtedly caused considerable reputational damage to HSBC,” HSBC chief executive Stuart Gulliver said on Monday.
