Turkish state-owned bank Halkbank has filed a lawsuit with the US Supreme Court, demanding that the court overturn a lower court decision allowing its criminal prosecution on charges that the bank violated US sanctions against Iran, the "Türkiye Today" website reported, quoted by BTA.
The lawsuit, filed on May 5, claims that Halkbank is entitled to “absolute immunity“ under common law, arguing that as a state-owned bank it functions as an extension of the Turkish government and therefore cannot be sued in U.S. courts.
Halkbank is 91.49 percent owned by the Turkish State Sovereign Wealth Fund.
The lawsuit was filed after a U.S. appeals court in October upheld a lower court ruling rejecting the bank's claim to sovereign immunity.
Halkbank argues that allowing criminal charges against a foreign state institution constitutes a legal precedent and violates international legal practices that generally protect sovereign entities from prosecution in foreign jurisdictions.
The case centers on U.S. allegations that Halkbank facilitated the movement of about $20 billion in Iranian oil revenues through intermediaries in Turkey, Iran and the United Arab Emirates. Prosecutors allege that some of these funds ultimately passed through the U.S. financial system. Halkbank denies wrongdoing, saying all transactions were conducted outside U.S. jurisdiction and under the direction of the Turkish government.