Standard Chartered CEO says bank closed accounts linked to Russian money laundering network that moved $6.9 billion
The bank's Hong Kong accounts received roughly $1.1 billion from a Kremlin-backed payments operation that used forged invoices and front companies to dodge Western sanctions
Standard Chartered CEO Bill Winters confirmed the bank shut down accounts tied to a Russian money laundering operation after discovering attempts to circumvent Western sanctions imposed following Moscow’s invasion of Ukraine. The closure came after the bank flagged suspicious activity flowing through its Hong Kong operations, part of a broader scheme that reportedly moved more than $6.9 billion through the global banking system.
The network, known as A7, is described as a Kremlin-backed payments infrastructure that relied on front companies, forged invoices, and manipulated customs codes to disguise the origins and purposes of transactions. Some of those transactions were reportedly linked to Russian military procurement.
How the scheme worked, and how it unraveled
Between late 2024 and August 2025, Standard Chartered’s Hong Kong accounts received approximately $1.1 billion connected to A7-linked entities.
The red flags started appearing in February 2025. High-volume payments originating from Kyrgyz banks triggered the bank’s compliance systems, prompting Standard Chartered to place holds on the suspicious transactions. The bank subsequently closed the relevant accounts.
Winters has publicly emphasized that Standard Chartered has no interest in facilitating Russian-related business, a position he articulated as early as late 2024.
Standard Chartered is no stranger to sanctions-related trouble. In 2019, the bank resolved a $1.1 billion settlement with US and UK authorities over prior sanctions violations.
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Standard Chartered wasn’t alone
The A7 network didn’t limit itself to a single banking relationship. First Abu Dhabi Bank processed more than $1.8 billion through 17 separate A7 entities before shutting those accounts down. Citigroup has also been identified as having exposure to the network and has taken steps to address its associations.
The scale of the operation is worth sitting with. Over $6.9 billion moved through traditional banking channels since late 2024. Kyrgyzstan served as a key transit point, its banks acting as intermediaries that could add a layer of geographic distance between the funds and their Russian origins.
A7’s methods went beyond simple shell companies. The network reportedly employed industrial-scale forgery and altered customs codes on trade documentation to make transactions appear legitimate.
What this means for global banking compliance
The episode highlights the continued vulnerability of correspondent banking relationships, the networks through which smaller regional banks access the global financial system through larger international institutions. Kyrgyz banks served as the entry point for A7’s funds into Standard Chartered’s systems.
Standard Chartered’s 2019 settlement cost $1.1 billion and came with years of enhanced monitoring.