Recent news from Treasury’s Office of Foreign Assets Control: February 29

The Office of Foreign Assets Control took sanctions action over the last week in the corruption and human rights abuse designations, Iran, Venezuela and illicit drug-related programs:

• OFAC Designates Zimbabwe’s President and Others for Corruption and Human Rights Abuse: OFAC on March 4 designated Zimbabwe’s President Emmerson Mnangagwa, 10 others and three entities for their involvement in corruption or serious human rights abuse. The other designated individuals are the First Lady of Zimbabwe Auxillia Mnangagwa; Zimbabwean businessman Kudakwashe Regimond Tagwirei and his wife, Sandra Mpunga; director of Fossil Agro Obey Chimuka; First Vice-President Constantino Chiwenga; Defense Minister Oppah Muchinguri; the Commissioner-General of the Zimbabwe Republic Police Godwin Matanga; Deputy Commissioner-General of the ZRP Stephen Mutamba; Deputy Director General of Zimbabwe’s Central Intelligence Organization, Walter Tapfumaneyi; and, Minister of State Security Owen Ncube. The designated entities are Sakunda Holdings, its subsidiary Fossil Agro and Fossil Contracting. Read more.

Iran-related Sanctions

• U.S. and U.K. Target Qods Force Deputy Commander and Houthi-Affiliated Supporters: OFAC in coordination with its United Kingdom counterpart, designated the Deputy Commander of Iran’s Islamic Revolutionary Guard Corps-Qods Force (IRGC-QF), Mohammad Reza Falahzadeh and Ibrahim al-Nashiri, a Houthi group member. OFAC also designated the owner and operator of a vessel used to ship Iranian commodities that were sold to support both the Houthis and the IRGC-QF. The revenue generated through these illicit networks enables the Houthis’ militant efforts, including numerous terrorist attacks in the region using advanced unmanned aerial vehicles and missiles. OFAC’s action follows the recent U.S. Department of State designation of Ansarallah (commonly known as the Houthis) as a Specially Designated Global Terrorist as a result of their ongoing attacks on international maritime commerce in the Red Sea and Gulf of Aden. Read more.
• OFAC Designates Kohana Company Limited and Iridescent Co Ltd for Shipping Iranian Commodities: OFAC on Feb. 27 designated two companies registered in Hong Kong and the Marshall Islands that own and operate a vessel, the Panama-flagged KOHANA. The vessel has shipped over $100 million in Iranian commodities to businesses in China on behalf of Iran’s Ministry of Defense and Armed Forces Logistics (MODAFL). MODAFL continues to facilitate the delivery of Iranian weapons, most notably unmanned aerial vehicles (UAVs), to Russia in support of its war of aggression in Ukraine and to Iranian-aligned militia groups in the Middle East. OFAC designated Kohana Company Limited and Marshall Islands-registered Iridescent Co Ltd. for operating Kohana Company Limited. Read more.

Venezuela-related Sanctions

• OFAC Amends Darfur Regulations, Publishes Venezuela-related FAQs: OFAC on March 1 amended the Darfur Sanctions Regulations. The newly updated “Sudan Stabilization Sanctions Regulations,” implement Executive Order 14098 of May 4, 2023, as well as additional administrative updates. In addition, OFAC published a final rule to update terms across several sanctions programs’ regulations, to reflect current office names and email addresses, as well as to update grammatical terminology. Related to this action, OFAC published Frequently Asked Question 1167, updated FAQs 1137 and 1141, and deleted FAQs 1142, 1143, and 1144, to accompany the recently amended Venezuela General License 45B. Read more.
• OFAC Issues Venezuela GL 45B: OFAC on Feb. 29 issued Venezuela General License 45B, “Authorizing Certain Repatriation Transactions Involving Consorcio Venezolano de Industrias Aeronáuticas y Servicios Aéreos, S.A.” GL 45B replaces and supersedes in its entirety General License No. 45A, dated Nov. 16, 2023. Read more.

Illicit Drug-related Sanctions

• OFAC Sanctions Los Pochos DTO Members and Entities: OFAC on Feb. 28 redesignated, pursuant to Executive Order 14059, the Los Pochos Drug Trafficking Organization. First sanctioned in 2019 pursuant to the Kingpin Act, the Los Pochos DTO is a Guatemala-based organization engaged in cocaine trafficking from Guatemala through Mexico to the United States. OFAC designated three members of the Los Pochos DTO and four affiliated companies based in Guatemala. OFAC designated Los Pochos leader since 2019 Juan Jose Morales Cifuentes; his wife Isel Aneli Suñiga Morfin, who is also mayor of Ayutla; and Erick Manuel Ochoa Villagran, a Guatemala-based narcotics trafficker working for Morales Cifuentes and the Los Pochos DTO. OFAC designated companies Importadora Jireh, a car dealership; Construhogar, a hardware store; WIV Sociedad Anonima, an industrial parking lot; and Condado Real, a real estate company for being controlled or owned by the designees. OFAC’s action places renewed attention on the Los Pochos DTO following a change in leadership and involvement of its members in local Guatemalan politics. Read more.