OFAC Interpretive Guidance

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TURBOFAC Commentary (438 words)

Notes:

1) See comments to 061117-FACRL-SU-01 –"Prohibitions Imposed by Executive Order 13412; Transshipments of Goods and Financial Transactions Conducted Through Certain Areas of Sudan."

At the time the guidance was issued [1], most transactions involving the "Specified Areas of Sudan" were exempt from regulation (538.212), but not "Prohibited transactions involving blocked property," including property of the Government of Sudan (538.201), whether or not dealt in within the U.S. or otherwise (538.408).

The situation presented illustrates the importance of understanding the difference between "exempt" and "authorized" transactions, though this was a rare case because it dealt with a peculiar “discretionary exemption” with carveouts. See General Note on the terms "Exempt," "Authorized," "Licensed," "Prohibited, "Not Prohibited" and "Sanctionable" (System Ed. Note).

If the exports at issue were to the part of Sudan that was actually fully sanctioned, they...

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Case SH-98179b

TURBOFAC Commentary (438 words)