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US Asks Pakistani Bank to Shut Operations in New York for Alleged Fund Transfers to Terrorists

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Habib Bank

Bank regulators slaps $ 255 million fine

Facing isolation on the issue of supporting terrorism, Pakistan, has on Thursday, faced another US action against its flagship bank. The bank regulators have ordered Habib Bank to close its New York office for “repeatedly failing to heed concerns” over possible terrorist financing and money laundering. Bank has also to pay a sum of $255 million as fine.

The move has come in less than twenty days after President Donald Trump tore into Pakistan over its stand on the issue of counter terrorism. He advised Islamabad that “It’s time for Pakistan to demonstrate its commitment to fight terror.”

According to Associated France Press, Habib, the largest private Pakistani bank, neglected to watch for compliance problems and red flags on transactions that potentially could have prompted terrorism, money laundering or other illicit ends. Habib Bank was operating its office in New York for last 40 years.

The Department of Financial Services (DFS), which regulates foreign banks, has also slapped a $ 255 million fine on the bank. The regulators had, in 2006, ordered to tighten its oversight of potentially illegal transactions. But bank had failed to comply with the instructions.

The US regulators said that Habib bank facilitated transactions of billions of dollars with Saudi private Al Rajhi Bank, which allegedly has links with Al-Qaeda. Habib has also failed to do enough that the funds were not laundered or used for terrorism.

The Pakistani bank had reportedly permitted at least 13,000 transactions without sufficient screening.

“DFS will not tolerate inadequate risk and compliance functions that open the door to the financing of terrorist activities that pose a grave threat to the people of this State and the financial system as a whole,” DFS Superintendent Maria Vullo said in a news release.

Habib company secretary Nausheen Ahmad, in a letter to Pakistan Stock Exchange, in August, had called the initially proposed penalty of $ 626.6 million “outrageous” and “capricious.” He said that the bank has decided to close its New York operations “in an orderly manner.”

The DFS has asked Habib to surrender its licence after meeting the agency’s requirements saying it will not  stand by and let Habib sneak out of the US.

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Trump rejects Iran’s 7-day peace plan, says deal can come after US polls

US President Donald Trump rejected Iran’s seven-day proposal to end hostilities and indicated that a deal could come after the US midterm elections in November.

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Donald Trump

US President Donald Trump has rejected Iran’s latest proposal aimed at bringing an end to the ongoing conflict, while indicating that a possible agreement could come after the US midterm elections in November.

Iran had proposed a seven-day framework under which hostilities could be brought to an end, the Strait of Hormuz could be reopened and negotiations over its nuclear programme could resume.

Iran’s seven-day proposal

Iranian Foreign Minister Abbas Araghchi said Tehran had put forward the proposal through intermediaries. Under the plan, the Strait of Hormuz would be reopened by the end of the seventh day if specified conditions were met, while broader nuclear discussions would restart.

The proposal was based largely on an earlier understanding reached between Washington and Tehran, but Iran sought to implement the latest framework much faster. The earlier arrangement had provided a longer period for negotiations.

The Strait of Hormuz is a strategically important waterway for global energy shipments, making its reopening a key element of any effort to ease the wider conflict.

Trump points to US midterm elections

Trump, speaking at the United Nations, showed no indication that he was ready to immediately resume negotiations on the terms proposed by Tehran.

He called for the economic isolation of Iran and said he believed a deal could be reached after the US midterm elections in November. Trump also said Iran was waiting to see how he performed in the midterm elections.

The remarks came as Iranian officials signalled that they remained open to diplomacy and described the UN General Assembly as an opportunity to revive negotiations.

Nuclear talks remain part of Iran proposal

Iran’s latest plan links the easing of hostilities with the resumption of negotiations over its nuclear programme.

The proposal follows the collapse of an earlier US-Iran arrangement. According to reporting on the latest proposal, the new framework is intended to compress the timeline for implementing commitments that had previously been discussed by the two sides.

For now, Trump’s remarks indicate that Washington is not accepting Tehran’s seven-day framework as presented, while Iran continues to put diplomacy and negotiations forward as part of its proposal.

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Iranian President Pezeshkian at UN says Iranians have been victims of US terrorism

Iranian President Masoud Pezeshkian said at the UN General Assembly that Iranians had been victims of US terrorism and insisted that Iran had acted in self-defence.

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Iranian President Masoud Pezeshkian accused the United States of subjecting Iranians to what he described as terrorism while addressing the United Nations General Assembly on Wednesday.

Pezeshkian said Iran had defended itself against attacks and rejected the characterisation of the country as a terrorist actor. His remarks came during a rare wartime appearance at the UN as tensions between Iran and the United States remain high.

Pezeshkian accuses US and Israel of attacks

Speaking at the General Assembly, Pezeshkian said Iranian civilians had been targeted by attacks and described the actions against his country as aggression.

“We have only defended ourselves. We are not terrorists,” he said, according to the report.

Pezeshkian also accused the United States and Israel of attacking Iran, while maintaining that Tehran’s response was an act of self-defence.

The Iranian president displayed photographs of former Supreme Leader Ali Khamenei and more than 150 schoolchildren who, according to his account, were killed during the early days of the conflict.

Iran’s message at the UN

Pezeshkian’s address came against the backdrop of the ongoing conflict between Iran and the United States and heightened tensions in the region.

Iranian officials had indicated ahead of the UN visit that they intended to highlight what Tehran considers attacks against its people and raise concerns over the international response to the conflict.

The Iranian delegation’s visit to New York also comes amid restrictions imposed by the United States on the delegation’s movement and other aspects of its stay, according to reporting ahead of the address.

Pezeshkian says Iran defended itself

Pezeshkian’s central message at the UN was that Iran’s military actions should be viewed as a response to attacks rather than terrorism.

His description of the conflict and the allegations against the United States and Israel represent the Iranian government’s position. They should therefore be attributed to Pezeshkian rather than presented as independently established facts.

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PM Modi’s Canada visit could help wrap trade talks, says Canada PM Mark Carney

Canadian PM Mark Carney said he is looking forward to hosting PM Narendra Modi, with both countries aiming to conclude their ongoing trade negotiations.

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Canadian Prime Minister Mark Carney has said he is looking forward to hosting Prime Minister Narendra Modi, as India and Canada continue efforts to advance their bilateral relationship and conclude ongoing trade negotiations.

The two countries have been working towards a Comprehensive Economic Partnership Agreement (CEPA), with both sides previously setting a target to conclude the negotiations in 2026.

Carney and Modi have held discussions on strengthening economic ties between India and Canada, including trade and investment. Their engagement has gained momentum following Carney’s visit to India earlier this year.

India-Canada trade talks

India and Canada formally resumed efforts towards a broader trade agreement after a period of strained bilateral ties. The two sides have committed to advancing negotiations on a CEPA covering their economic relationship.

In June, Carney and Modi reviewed progress in bilateral economic cooperation during their meeting on the sidelines of the G7 Summit in France. They expressed satisfaction with the progress in CEPA negotiations and reaffirmed their shared objective of concluding the talks in 2026.

During Carney’s visit to India in March, the two leaders had also agreed to accelerate negotiations on the CEPA and work towards finalising the agreement during 2026.

Modi’s proposed Canada visit

Carney had invited PM Modi to visit Canada in 2026, and the two leaders agreed to remain engaged through diplomatic channels to work towards a mutually convenient date for the visit.

The proposed visit comes as New Delhi and Ottawa seek to build on renewed diplomatic and economic engagement, with trade negotiations remaining a key part of the relationship.

The focus on completing the trade talks comes as both countries look to expand commercial ties and establish a broader economic framework through the proposed CEPA.

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