Turkey's Halkbank can be prosecuted over Iran sanction violations, U.S. appeals court rules

FILE PHOTO: People walk past a branch of Halkbank in central Istanbul, Turkey, October 16, 2019. REUTERS/Huseyin Aldemir

(Reuters) - A U.S. appeals court on Friday rejected Halkbank's bid to dismiss an indictment accusing the state-owned Turkish lender of helping Iran evade American sanctions.

The 2nd U.S. Circuit Court of Appeals said even if the Foreign Sovereign Immunities Act shielded the bank, the charge against Halkbank falls under the commercial activity exception.