21st June 2014

What Are The Consequences Of Breaking OFAC Sanctions?

Consequences of OFAC Sanctions Violations?

OFAC Sanctions Violation Penalties

OFAC considers non-compliance with sanctions to be a serious threat to national security and foreign relations. Consequently, those who breach OFAC sanctions without obtaining the proper license can face severe legal repercussions. Fines range up to $20 million, depending the offence, and prison sentences can be as long as 30 years.

If, in violating a sanction, a party also violates the Trading with the Enemy Act, it may be penalised with $65,000 fine per violation. For violations of the International Emergency Economic Powers Act, the fine increases to $250,000 per violation. Similarly, breaking provisions of the Foreign Narcotics Kingpin Designation Act can result in fines of up to $1,075,000 per violation.

Naturally, these numbers vary considerably depending on the specific crime committed and the number of times it occurred. The specifics of these sanctions also change very frequently, so it is crucial to stay up to date; this will allow you to ensure both that you are compliant and that you don’t unnecessarily limit your business activity by adhering to sanctions that have been revoked.

Navigating Around OFAC Sanctions

Find Out About Our Sanctions Screening Tool

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Disclaimer: This is for general information only. The information presented does not constitute legal advice. ComplyAdvantage accepts no responsibility for any information contained herein and disclaims and excludes any liability in respect of the contents or for action taken based on this information.

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