The Royal Bank of Scotland has said that it has agreed to pay $100 million for breaching US sanctions against transactions with Iran, Sudan, Burma and Cuba.

UK's banking giant entered into an agreement with the US Federal Reserve, the US Treasury Department and the New York State Department of Financial Services for a settlement. RBS has said that it acknowledges and deeply regrets its involvement. The bank also said that it has committed about $490 million since 2010 to improve its sanctions controls across the international institutions.

A number of UK banks have entered into agreement with regulators in the US to reach settlements after they were found to be involved in transactions with Iran despite US laws against them. RBS has confirmed that the criminal authorities at the US Justice Department and the District Attorney of New York have reached an agreement and will not press charges against the bank.

The Treasury Department said that the bank had removed evidences to sanctioned locations from payment messages to US financial institutions from 2005 to 2009. The bank had asked the employees to name the Iranian financial institution instead of identifying codes on wire transfers in order to avoid transfers.