Marissel Descalzo has a breadth of experience and knowledge in handling Office of Foreign Assets Control (OFAC) matters, including licensing and sanctions. Ms. Descalzo has knowledge and experience and can provide assistance with the following matters:
- Defending against OFAC Investigations and Enforcement Matters
- Unblocking of Frozen Funds or Assets
- OFAC Administrative Subpoenas
- Internal investigations and compliance
- Removal from the Specifically Designated Nationals List (or SDN list)
- Licenses from OFAC to access blocked funds
What is OFAC?
The Office of Foreign Assets Control (OFAC), an agency of the United States Department of the Treasury, is tasked with the regulation and enforcement of U.S. economic sanctions and trade embargoes involving foreign countries and targeted persons. The agency takes action in an effort to achieve the national security goals and foreign policy objectives of the United States. Its legal authority is derived from different places, ranging from executive orders to legislation to international agreements.
OFAC Sanctions
The sanctions imposed by the Office of Foreign Assets Control involve a complex and ever-changing set of rules, regulations, and foreign policy developments. They also involve an ever-changing list of persons and countries of interest. Any individual, organization, or foreign entity which becomes a real or perceived threat to national security, U.S. foreign policy, or U.S. economic policy can be sanctioned. When dealing in international business matters and transactions, one must be aware of, anticipate, and be in constant compliance with all OFAC laws and regulations. Staying well-informed of shifting policies may be a challenge, but a knowledgeable OFAC lawyer can provide sound counsel to help with specific licensing, issues with current foreign activities, and other legal needs.
U.S. citizens, as well as those with interests or property which fall under U.S. jurisdiction, are subject to OFAC sanctions. Obtaining knowledgeable legal counsel from an OFAC experienced lawyer regarding the latest national security controls imposed by the U.S. Government may be the best way to avoid possible penalties, such as fines, the freezing of assets, or arrest.
OFAC Functions
Those engaged in commerce, international business, or trade with blacklisted countries or targeted persons may be subject to criminal penalties and administrative actions. Even people conducting personal transactions with family members, friends, nonprofit organizations, and charities are subject to the sanctions administered by OFAC. Willful violations of the sanctions can be prosecuted criminally by the Department of Justice. However, OFAC can hold a person civilly liable for any violation of the sanctions, including violations committed innocently or inadvertently. Accordingly, sanctions are commonly regarded as strict liability offenses.
Prohibited Transactions
How does one know if what they are doing is prohibited by sanctions? OFAC maintains a blacklist of targeted persons, entities, and organizations called the Specially Designated Nationals and Blocked Persons List (commonly referred to as the SDN List). Moreover, there are some sanctions that apply to entire nations, regardless if they appear on the SDN List. Due to ever-shifting government and political interests worldwide, this is a dynamic list that is constantly changing as new targets are added and more legal authorities are created by the Congress and President to expand sanctions.
The prohibitions contained in sanctions are construed very broadly. They often prohibit all transactions and dealings with an SDN. For instance, even simple everyday transactions like an Uber ride is prohibited.
