PayPal to pay $7.7 million in U.S. Treasury sanctions case

New York -- PayPal Inc. has agreed to pay $7.7 million in a deal to settle charges by the U.S. Treasury Department that the electronic payments giant violated numerous sanctions programs against countries that include Iran, Cuba and Sudan, Reuters reported.



The Office of Foreign Assets Control, an agency of the Treasury Department, on Wednesday announced the civil settlement.



The agency said PayPal, which is soon to be spun off from parent eBay Inc., did not adequately screen transactions so it could detect those by people or entities subject to sanctions against Iran, Cuba and Sudan.



In a statement, PayPal that it voluntarily reported to the agency questionable payments it had processed.