Unit of Thailand’s SCG Pays $20 Mln to US to Settle Iran Sanctions Case

April 19 (Reuters) – A unit of Thai company SCG Chemicals PCL IPO-SCGC.BK has agreed to pay $20 million to the United States to settle potential civil liability for violations of U.S. sanctions on Iran, the Treasury Department said on Friday.

SCG Plastics Co shipped high-density polyethylene resin but hid the product’s Iranian origins, causing U.S. financial institutions to unwittingly process $291 million in wire transfers that contravened the sanctions in 2017 and 2018, the department said in a statement.

“As a result of these transactions, significant economic benefits were conferred to Iran‘s petrochemical sector, a major source of revenue generation for the Iranian regime,” it said.

(Reporting by David Ljunggren, editing by Paul Grant)

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