OFAC FAQ (Current) # 1129 - Russian Harmful Foreign Activities Sanctions

Date issued: May. 19 2023

Last substantive commentary amendment:
Aug. 13 2023

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TURBOFAC Commentary (148 words)

Notes:

1) Compare FAQ # 1073, FAQ # 1074, FAQ # 1075, FAQ # 1104 and FAQ # 1131, which are similar FAQs seeking to provide comfort with respect to the non-blocked status of an entity related to a person blocked concurrent with the issuance of the FAQ. Here, OFAC does not exactly break new legal ground; the FAQ is consistent with OFAC's practice of applying the 50% Rule downward in the corporate chain, rather than upward or horizontally. Still, it is notable that OFAC is willing to explicitly take the position that, non-applicability of the 50% Rule notwithstanding, a subsidiary does not have an "interest" in transactions of a parent. Compare Case No. SDGT-1051 (USP can wire money to a non-blocked head office of an NGO of which a branch is an SDN)....