Recent news from Treasury’s Office of Foreign Assets Control: January 5

Enforcement Action

  • OFAC Announces Settlement Agreement with PURE for Ukraine-/Russia Sanctions Violations: The Office of Foreign Assets Control on Dec. 21 announced a $466,200 settlement with Privilege Underwriters Reciprocal Exchange (PURE). The agreement settles PURE’s potential civil liability for 39 apparent violations of OFAC’s Ukraine-/Russia-Related sanctions. Specifically, between May 2018 and July 2020, PURE engaged in transactions related to four insurance policies involving a blocked Panama-based company owned by Specially Designated National, Viktor Vekselberg (who was not designated at the time the policies were issued). The settlement amount reflects OFAC’s determination that PURE’s apparent violations were not voluntarily self-disclosed and were non-egregious. Read more.

The Office of Foreign Assets Control took a number of significant sanctions actions on the Russia, Iran and terrorism related programs:

Russia-related Sanctions

Iran-related Sanctions

  • OFAC Sanctions Procurement Network Across Middle East and East Asia Supporting Iran’s UAV Program: OFAC on Dec. 19 imposed sanctions on 10 entities and four individuals based in Iran, Malaysia, Hong Kong, and Indonesia for supporting Iran’s unmanned aerial vehicle (UAV) production. This network, led by Iran-based Hossein Hatefi Ardakani, has facilitated the procurement of U.S.- and foreign-origin components worth hundreds of thousands of dollars for the Islamic Revolutionary Guard Corps Aerospace Force Self Sufficiency Jihad Organization (IRGC ASF SSJO) and its UAV program. Read more.

Terrorism-related Sanctions

  • OFAC Targets Network Financing Houthis: OFAC on Dec. 28 designated one individual and three entities responsible for facilitating the flow of funds to Houthi forces and their destabilizing activities. Among the designees is Nabil Ali Ahmed Al-Hadha, the head of the Currency Exchangers Association in Sana’a, and three exchange houses in Yemen and Türkiye: Al Aman Kargo Ithalat Ihracat Ve Nakliyat Limited Sirketi, Nabco Money Exchange and Remittance Co. and Al Rawda Exchange and Money Transfers Company. The designated individuals have facilitated the transfer of millions of dollars to the Houthis at the direction of U.S.-designated Sa’id al-Jamal, who is affiliated with Iran’s Islamic Revolutionary Guard Corps-Qods Force (IRGC-QF). Read more.