Obama’s nominee for secretary of defense received a big paycheck to sit on the board of a bank currently being investigated for breaching United States sanctions on Iran. Chuck Hagel was paid $100,000 as a board member of Deutsche Bank.
Hagel was appointed in 2009 to Deutsche Bank’s Americas Advisory Board after twelve years in the Senate, placing him him in close contact with the bank’s senior leadership.
The bank admitted in its quarterly earnings report this year that it was being investigated by U.S. authorities for its dealings with Iran, according to the Jerusalem Post.
Germany’s Deutsche Bank is one of four large banks being probed by U.S. authorities for trading with Iran’s embargoed energy sector. Deutsche Bank denies violating the U.S. trade embargo on Iran.
"The possible violation deals with a financial transaction with the Islamic Republic in U.S. dollars," according to the report. "Deutsche Bank says it will now cooperate with the authorities, though it had previously refused to comment on the allegations."
Hagel’s position at Deutsche Bank involves advising and consulting with "executives and clients on a wide range of strategic and market issues, including business development and growth as well as economic, industry, political and social trends," according to a statement. "Board members also advise on client initiatives."
Hagel serves on the board in a non-governmental role and allegedly has no fiduciary responsibilities related to the bank.
Prosecutors raided Deutsche Bank’s headquarters in December in a tax-evasion investigation, according to the New York Times.
Published under: Chuck Hagel , Financial Industry , Iran , Middle East , Obama Administration