top of page

Last week's major developments in sanctions - October 17th to October 21st, 2022

Monday, October 17

  • The EU Council took two sanctions-related decisions:

    1. Council Decision 2022/1967 that extended the validity of the EU sanctions regime against Al Qaeda and ISIS through October 31, 2023 (press release); and

    2. Council Decision 2022/1956 that added 11 individuals and four entities to the list of sanctions targets under its Iran sanctions program (press release). Designations were mainly due the targets' roles in the brutal repression of the protests in Iran in the wake of killing of a 22-year-old woman, Mahsa Amini, while in custody. Furthermore, the EU Council imposed blocking sanctions on the Minister of information and Communications Technology for his responsibility in the internet shutdown.

  • OFSI issued General License INT/2022/1552576. The license authorizes those designated under the Russia or Belarus sanctions regimes of the UK to make payments to the London Court of International Arbitration to cover their arbitration costs. The license also authorizes processing such payments.

  • OFAC imposed blocking sanctions on nine individuals for their alleged roles in supporting al Shabab, a terrorist group close to al Qaeda. As part of the same designation tranche, the Department of the State added five leaders of al Shabab as Specially Designated Global Terrorists. (Here, the Department of the Treasury's press release, the Department of State's press release) Note: This development reminds that designations under some programs are done by the State Department. You can find which department has the authority to designate by reading the relevant executive order(s) for each sanctions program.

  • OFAC removed two Maltese individuals who used to be designated under OFAC's Libya sanctions program. (Here)

  • OFAC issued General License 28A under its Russia sanctions program, which replaced General License 28 under the same program, extending the validity period of the license through 12:01 a.m. eastern standard time, January 18, 2023.

Tuesday, October 18

  • In a major development which was not sanctions-related, Lafarge SA, a multi-national building materials manufacturer headquartered in Paris, France, and its Syrian subsidiary pleaded guilty, in a federal court in the U.S., to conspiring to provide material support to foreign terrorist organizations, ISIS and the al Nusrah Front. This is the first time that an entity pleads guilty for proving material support to foreign terrorist organization. The facts of the case are quite shocking. I suggest you to listen the relevant press release here. (The U.S. Department of Justice's press release; an informative client alert about this matter by Paul Weiss team.)

  • OFAC issued a Finding of Violation (a type of enforcement action that does not involve monetary penalty) to Nodus International Bank, Inc., a bank in Puerto Rico, for violation of Venezuelan Sanctions Regulations and not living up to its reporting obligations. This case is interesting because it reminds everyone that any sort of dealing with blocked properties is prohibited. In this case, some of the securities issued by Nodus prior to the designation of the SDN in question were purchased by the SDN. Following the designation, the bank proceeded with redemption (requiring security holders to sell their securities to the issuer) of those securities and placed the proceeds of the redemption in a blocked account. (Here)

Wednesday, October 19

Thursday, October 20

Friday, September 21

  • The October 2022 Plenary Session of FATF concluded. Among other things, FATF updated its so-called grey list and black list. (Here)

    1. Grey list:

      1. Democratic Republic of the Congo, Mozambique, and Tanzania were added to the grey list; and

      2. Pakistan and Nicaragua came off the grey list

    2. Black list:

      1. Myanmar (Burma) was added to the list

Recommendation of the week

  • A new episode of "Embargoed" podcast came out on Friday. Check it out here.


bottom of page