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HSBC Holdings PLC is under investigation for its links to Lebanon’s former central bank governor Riad Salameh, the Financial Times reported on Tuesday. The London-based lender is facing preliminary charges from the Paris financial prosecutor’s office, based on allegations that HSBC facilitated embezzlement by Salameh. Le Monde newspaper was the first to report the action taken by prosecutors, which indicates that authorities see sufficient evidence to extend the inquiry with an investigation magistrate. It will then be up to a judge to decide whether to take the charges to trial. Specifically, the allegations cite conspiracy to commit offences such as the misappropriation of public funds, breach of trust and bribery of a public official. This comes after HSBC last year said it was the subject of inquiries by both French and Swiss regulators on money laundering related to ‘two historical bank relationships’. Following that disclosure, HSBC ended its relationships with over 1,000 clients in the Middle East, including from Lebanon and Saudi Arabia, the Financial Times reported. Back in 2021, Swiss authorities started enforcement proceedings against HSBC related to Lebanese clients. Swiss regulator Finma has alleged that Salameh and his brother transferred more than $300 million to an HSBC Switzerland account under the name Forry Associates between 2002 and 2015, before funds were move to other Swiss bank accounts. In 2022, Lebanese prosecutors charged Salameh with embezzlement of more than $330 million in public funds. The former central bank governor and his brother both have denied the allegations against them. HSBC was quoted by the Financial Time as saying: ‘We are unable to comment on a legal matter. The investigation is ongoing and we are continuing to co-operate.’ The lender’s shares closed 2.2% lower at 1,362.00 pence on Thursday in London. Copyright 2026 Alliance News Ltd. All Rights Reserved.
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