London: Global banking major HSBC has provided available information in its possession to the US authorities probing whether any US-based client used accounts in HSBC India to evade federal income taxes.
In April last year, HSBC Bank USA received summons from the US Internal Revenue Service (IRS) asking the entity to produce records with respect to US-based clients of an HSBC group company in India, the banking giant has said.
"While the summons was withdrawn voluntarily, HSBC Bank USA has cooperated fully by providing responsive documents in its possession in the US to the US Internal Revenue Service, and engaging in efforts to resolve these matters," HSBC said on Monday while announcing its annual results.
According to HSBC, it continues to co-operate in ongoing investigations by the US Department of Justice (DoJ) and IRS regarding whether certain "group companies acted appropriately in relation to certain customers who had US tax reporting requirements".
In August 2011, HSBC informed its American clients having bank account in HSBC India that IRS has served a summons on the bank seeking information with regard to financial accounts of US persons maintained with its branches in India.
HSBC India is the sixth largest profit centre for the banking group after Hong Kong, China, Britain, Brazil and Canada, according to its 2011 financial results. India operations' pre-tax profit stood at USD 813 million last year.
On Monday, HSBC also said it continues to co-operate in ongoing investigations by the DoJ, the New York County District Attorney?s Office, the Office of Foreign Asset Control, the Federal Reserve and the Office of the Comptroller of the Currency regarding "historical transactions involving Iranian parties and other parties subject to OFAC economic sanction".
First Published: Tuesday, February 28, 2012, 23:09