3 Japanese banks may be hit

The Yomiuri Shimbun

Three Japanese mega banks may be banned from doing business in the United States under the new law imposing sanctions against Iran, according to a central governmental source.

The banks at risk are Bank of Tokyo-Mitsubishi UFJ, Mizuho Corporate Bank and Sumitomo Mitsui Banking Corp., according to the source. The U.S. Treasury Department is working on details of the law, and the three banks may ultimately not be excluded from the U.S. market.

The law stipulates that if banks that have dealt with certain banks in Iran continue their interactions after the law comes into effect, they will be banned from doing business in the United States. The three banks will be forced to limit their deals with major banks in Iran if they are deemed to be subject to the new law.

The banks also may have business with foreign companies that export gasoline to Iran.

According to a U.S. consulting firm that analyzed the law, 44 non-U.S. banks may be affected by the law, including Deutsche Bank and France's Societe Generale.