According to a US independent monitor, the pace of HSBC Holdings Plc. is very slow in fixing some of its compliance issues.

Monitor Michael Cherkasky's report, which was summarized in a court filing, has praised the lender for the compliance efforts of top leaders. It has also appreciated the HSBC's adoption of anti-money-laundering standards.

However, in the monitor’s view, the bank's corporate culture and rusty technology systems have curtailed the implementation of those standards. It believes that HSBC group canâ€"and mustâ€" should do more.

The appointment of Cherkasky, a Manhattan prosecutor, was done in connection with HSBC's deferred prosecution agreement with the US. He chaired the New York State Commission on Public Integrity.

The US Department of Justice, on Wednesday, said that HSBC Holdings Plc has made progress towards cleaning up its operations after reaching a $1.92 billion settlement over charges related to money laundering, but it’s not enough.

The government criticized after reviewing the findings of Michael Cherkasky, an independent monitor.

Under the agreement, HSBC was able to avoid criminal charges for having, as federal prosecutors put it, devolved into a ‘preferred financial institution’ for money launderers and Mexican and Colombian drug cartels.

It handled transactions for customers, which were all subject to US sanctions, including in Burma, Cuba, Iran, Libya and Sudan.

As per a letter from US Attorney Loretta Lynch in Brooklyn, New York, the government has agreed with Cherkasky. It is believed that HSBC has acted in good faith and made material progress to meet the most stringent compliance standards that are imposed to date upon a global financial institution.

Lynch is President Barack Obama's nominee to become US Attorney General. He also said that Cherkasky had found progress in some areas, but it’s too slow, mainly in the improvement of HSBC's corporate culture and compliance technology.