Last Week's Major Developments in Sanctions - June 9, 2025, to June 13, 2025

OFAC imposed blocking sanctions against three individuals and 10 entities associated with the Los Chapitos-Mazatlán Network fraction of the Sinaloa Cartel. Sanctioned entities operate in the real estate, construction, salon, and hospitality businesses. Sanctions imposed for drug trafficking, murder, kidnapping, extortion, and the production of fentanyl under Executive Orders 13224, which targets terrorists and their supporters, and 14059, which targets the proliferation of illicit drugs and their means of production. (Here, the OFAC fact sheet, the Department of the Treasury press release, and the Department of State press release)
A Chinese national pleaded guilty to illegally exporting firearms, ammunition, and other military items to North Korea and to operating at the direction of the North Korean government, who paid $2M for this effort. (Here)
The Justice Department unsealed a 22-count indictment charging a Russian New York resident with funneling more than $500 million of overseas payments through U.S. banks and cryptocurrency exchanges to launder money and evade sanctions through his cryptocurrency company Evita. (Here)

OFAC imposed blocking sanctions against five individuals and six entities for being sham charitable organizations. Five of those organizations provide funding to Hamas’s Military Wing and its terrorist activities under the pretense of conducting humanitarian work, both internationally and in Gaza. The sixth organization is linked to the Popular Front for the Liberation of Palestine (PFLP). Actions taken pursuant of Executive Order 13224, which highlights the abuse of the nonprofit sector by terrorist financiers to illicitly generate, store, and move funds. (Here, the Department of the Treasury press release, and the Department of State press release)
The Foreign Ministers of Australia, Canada, New Zealand, Norway and the United Kingdom announced asset freezing sanctions against two Israeli government ministers Itamar Ben-Gvir and Bezalel Smotrich for inciting violence against Palestinians in the West Bank. British actions taken pursuant of the Global Human Rights Sanctions Regulations 2020 and under the Sanctions and Anti-Money Laundering Act 2018. (Here U.K. Sanctions Notice, and the U.K. press release)

The European Council imposed asset-freezing sanctions against two Tunesian nationals for their role in misappropriating Tunesian State funds under Council Decision 2011/72/CFSP. (Here and here)

OFAC imposed a $216 M civil penalty, the statutory maximum, against GVA Capital for knowingly managing an investment for sanctioned Russian oligarch Suleiman Kerimov while aware of his blocked status. (Here, and the Enforcement Release)
OFAC imposed blocking sanctions against an Iraqi national associated with the paramilitary group Harakat Al-Nujaba and one entity, Kata’ib Al-Ali, a paramilitary group active in Iraq. Designation made pursuant of Executive Order 13224. (Here)
The European Council imposed asset-freezing sanctions against three Guatemalan individuals and one entity for their role in attacking the democratically elected Guatemalan government of President Arévalo and the misuse of legal procedures to target elected officials, human rights defenders, indigenous leaders and independent judges. Action taken pursuant of Council Decision (CFSP) 2024/254. (Here)
OFSI amended General License INT/2023/3263556 related to GTLK companies insolvency payments to add exemptions, definitions/clarifications, permissions, and reporting requirements. (Here)

OFAC released the fiscal year 2025 Q2 Quarterly Report of Licensing Activities pursuant to Section 906(b) of the Trade Sanctions Reform and Export Enhancement Act of 2000, covering activities undertaken by OFAC under Section 906(a)(1). The report covers exports of agricultural commodities, medicine, and medical devices to Iran. Of the 31 total applications, 23 were for medical devices and eight for agricultural commodities. (Here, the 2025 Q2 Quarterly Report of Licensing Activities, and the overview of all reports since 2001)

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