The US Justice Department has agreed to resolve its long-running criminal prosecution of Turkish state-run lender Halkbank, the judge overseeing the case said in a court filing on Monday, without providing further details of the deal.
Manhattan-based US District Judge Richard Berman said in a written order that he would ask lawyers for both sides about the so-called deferred prosecution agreement at a previously scheduled hearing on Wednesday, Reuters reported.
Halkbank shares rose more than 8% after the agreement was announced.
In 2019, prosecutors charged Halkbank with fraud, money laundering and conspiracy for allegedly helping Iran evade American economic sanctions. The bank was sanctions-evasion scheme Halkbank's case has long been a thorn in US-Türkiye relations, with Turkish President Tayyip Erdogan in 2019 calling the decision to prosecute an "unlawful, ugly" step.
Neither a spokesman for the Manhattan US Attorney's office, which brought the case, nor lawyers for Halkbank immediately responded to requests for comment.
Deferred prosecution agreements let defendants avoid criminal charges if they meet various conditions, typically over several months or a few years. The government dismisses cases after the defendants comply.
