A Federal court entered judgment against French bank BNP Paribas for $80 million for defrauding a program designed to encourage American exports.The program, run by the U.S. Department of Agriculture, covered losses for American commodities exporters in cases where their import partner failed to make a payment.
Last month, BNP Paribas pleaded guilty and agreed to pay $8.9 billion in a settlement with U.S. authorities for violating U.S. economic sanctions.
From 1998 to 2005, BNP Paribas knowingly guaranteed such a credit for companies known to be operating both the export and import side of a trade and, in some cases, never making a payment or shipment, according to a statement from the Justice Department.
Beginning in April 2005, BNP Paribas submitted claims to the Agriculture Department for losses resulting from a Mexican importer owned by the same company as the American exporter.
Jeffrey Newman represents whistleblowers