OFAC Enforcement - American Express Travel Related Services (3rd action)

Ed. Note: if you’re new to TURBOFAC, please take note that the text string filtration function generally shouldn’t be used for terms such as “ordinarily resident,” “causing” or “new debt”. For research on the meaning of words and phrases such as those, i.e. terms central to the key legal issues in sanctions law that appear on a cross-programmatic basis, you’re typically better off locating and checking the appropriate box in the “Key Legal Issues” search category, which will limit the results to those that have been manually assessed as being relevant for the interpretation of the terms at issue.

Try typing your search term (“ordinarily resident,” “new debt,” or something else) in the “Find a Search Filter” box at the top of the page, and the corresponding “Key Legal Issues” check box will pop up instantly, if one exists. Once you check the box (e.g. “new debt,” with ~55 results), you can always use the text string filtration function to further refine your search (e.g. by typing “invoice” and narrowing the ~55 results to ~10).

Note in addition that the same applies to text string searches such as “14071” (if you’re looking for items related to EO 14071). By typing “14071” in the “Find a Search Filter” field up top, you will be able to instantly narrow the results down to items manually assessed as relating to EO 14071. Ditto terms such as “515.204” or “Iran General License G” (try the “Discrete Legal Provision” search category). Please contact [email protected] or [email protected] with any questions on search results and efficiency.

Please click "Apply Text String Filters" again after clicking the "Close" button immediately below.

TURBOFAC Commentary (581 words)

Notes:

1) THE DILIGENCE FAILURE

The ostensible purpose of this enforcement action notice is to highlight "the importance of taking the steps necessary to ensure that automated sanctions compliance controls measures cannot be overridden without appropriate review."

OFAC has issued penalties in the past that resulted from screening software problems. OFAC has an informal practice of not issuing penalties in the absence of a "reason to know" of the facts and circumstances underlying the violation. These facts do not constitute a deviation from that practice. The fact that the was initially flagged by the screening software would, itself, constitute a "reason to know" of the violations that followed.

2) THE INAPPLICABILITY OF TRAVEL EXEMPTION

The

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Enforcement Release (FOV) - American Express Travel Related Services (3rd action)

TURBOFAC Commentary (581 words)