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962. Can banks process transactions related to activities authorized by General Licenses (GLs) 14, 15, 16, 17, 18, 19, and 20?
Yes. Transactions that are ordinarily incident and necessary to give effect to the activities authorized in General Licenses (GL) 14, GL 15, GL 16, GL 17, GL 18, GL 19, or GL 20, including clearing, settlement, and transfers through, to, or otherwise involving privately owned and state-owned Afghan depository institutions, are authorized pursuant to these GLs.
In addition, foreign financial institutions may engage in or facilitate transactions that would be authorized for U.S. persons under GLs 14, 15, 16, 17, 18, 19, or 20 without exposure to sanctions under the Global Terrorism Sanctions Regulations, 31 CFR part 594 (GTSR), the Foreign Terrorist Organizations Sanctions Regulations, 31 CFR part 597 (FTOSR), or Executive Order (E.O.) 13224, as amended.
Date Updated: February 25, 2022
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1) FAQ Amended on 2-25-2022 to add non-substantive references to GTSR/FTOSR General License 20.
2) See comment to FAQ # 957 concerning the significance of OFAC specifying that the GLs apply to "state-owned Afghan depository institutions".
3) The second paragraph essentially restates FAQ # 931, but clarifies that the statement applies to funds transfers incident to underlying authorized transactions.
4) Refer generally to General Note on "Counterfactual Secondary Sanctions and Derivative Designation Safe Harbors" in Certain OFAC Guidance and FAQs (System Ed. Note).