(Adds background on charges, other probes, quotes fromArgentine official and HSBC)
BUENOS AIRES/LONDON, March 9 (Reuters) - Argentina wantsHSBC Holdings Plc to repatriate $3.5 billion that itsays the bank's Argentine branch moved offshore to help clientsevade taxes and move capital abroad, the country's tax chiefsaid on Monday.
The South American country last November charged HSBC withhelping more than 4,000 clients evade taxes by stashing their
money in secret Swiss bank accounts. HSBC Argentina rejectedthe charge, saying it respected Argentine law.
Europe's largest bank already faces probes in severalcountries into allegations it helped its clients evade taxes.
"We would like to know, firstly if HSBC Holdings PLCsupported the behaviour of the authorities of the Argentinebranch," tax chief Ricardo Echegaray said on Monday, accordingto a copy of the speech he gave in Argentina's London embassy.
"Secondly, we expect the repatriation of funds by HSBCHoldings PLC, that to our knowledge amount to 3.5 billiondollars."
HSBC said in a statement it was cooperating with Argentineauthorities in their probe.
"HSBC has been cooperating fully with Argentine regulators,including AFIP (the tax authority) and the judiciary, sinceallegations were first made public last year, and we willcontinue to do so," the bank said in a statement.
Britain has asked Argentina for information about itsinvestigation into HSBC.
HSBC last month admitted failings in compliance and controlsin its Swiss private bank after media reports alleged it helpedwealthy customers conceal millions of dollars of assets in aperiod up to 2007. It added its Swiss business had beentransformed since 2008 and client accounts closed.
Argentina also disclosed that on Sunday, it raided HSBCoffices in Argentina and it has sent requests for information totax authorities in "tax administrations in the Virgin Islands,Uruguay and Bermuda."
If HSBC clients were forced this year to cough up taxes theyevaded by moving their funds offshore, the windfall would comeat an opportune moment for Argentina's cash-strapped government.
The bank also faces investigation by U.S. authorities whohave stepped up efforts to establish whether it helped Americansevade taxes.
In 2012, HSBC paid a record $1.9 billion fine after U.S.authorities said it had become the preferred financialinstitution for drug traffickers and money launderers between2006 and 2010. (Reporting by Sarah Marsh in Buenos Aires and Chris Vellacottin London; Additional reporting by Eliana Raszewski and NicolasMisculin; Editing by Chizu Nomiyama and Andrew Hay)