HSBC has found itself at the centre of a sordid storm, populated by drug dealers, gun runners and tax evaders.
HMRC is now investigating a number of the bank's offshore accounts in Jersey held by UK residents, following a whistleblower's tip-off.
The Telegraph reports that drug dealer Daniel Bayes now living in Venezuela, as well as Michael Lee, who was convicted of possessing over 300 guns at his Devon house, as well as a trio of bankers facing major fraud allegations and a computer crook, are among those with accounts being investigated.
This latest scandal follows revelations in July which showed shockingly lax controls at HSBC had allowed Mexican drug cartels to launder billions of dollars through its US operations, and helped fund al-Qaeda and other terrorist groups, according to a US Senate committee investigation.
The report said that HSBC, among the10 largest banks operating in the US, transferred cash from its affiliate in Mexico to the US, despite warnings that such sums were likely to involve narcotics proceeds. US officials believe drug cartels - responsible for a continuing wave of murderous violence across Mexico - laundered illicit funds through the bank's US division between 2002 and 2009.
The latest disclosures raise serious concerns about HSBC's vetting procedures in Jersey, with the bank already expected to splash out $1.5bn (£0.94bn) in fines to the US authorities for riding roughshod over its money laundering rules.
HMRC is now investigating a list of the names and addresses of more than 4,000 UK-based people holding bank accounts at HSBC in Jersey.
Hundreds of people are believed to be evading tax as the accounts have not been previously disclosed.
An HMRC spokesman said: 'We can confirm we have received the data and we are studying it. We receive information from a very wide range of sources which we use to ensure the tax rules are being respected.
'Clamping down on those who try to cheat the system through evading taxes and over claiming benefits is a top priority for us and we value the information we receive from the public and business community.'
The information obtained by HMRC is believed to be one of the largest data leaks identifying holders of offshore accounts that UK tax authorities have got their hands on.
The list names 4,388 individuals holding £699m in offshore current accounts. The list is believed to be dominated by senior City figures, bankers, doctors, mining and oil executives and oil workers and an East End greengrocer with over £80,000 in his HSBC current account in Jersey.