By Karen Freifeld
(Reuters) - The district attorney for Manhattan has extended by three years a deferred prosecution agreement with Standard Chartered, after finding the British bank has not met the standards required by the 2012 agreement and also noting another probe of the bank is underway, according to a document obtained by Reuters.
The original agreement, struck over the bank's alleged violations related to U.S. sanctions, was due to expire on Wednesday.
The extension of the agreement means Standard Chartered will face enhanced oversight for a longer period of time, and could be hit with harsher penalties.
Peter Sands, the bank's chief executive, signed the document on Monday, along with lawyers for the bank and a representative of Manhattan District Attorney Cyrus Vance Jr., according to a copy of the amendment.
A similar document is expected to be filed by the Department of Justice.
A spokeswoman for Standard Chartered had no immediate comment.
(Reporting by Karen Freifeld; Additional reporting by Aruna Viswanatha; Editing by Leslie Adler)
