Comments on: OFAC Cracks Down on U-Turns

By: FormerOFAC

FormerOFAC — Tue, 11 Nov 2008 22:21:37 +0000

As another alumnus from Treasury Annex, I take exception to Mike’s “tea” comment. They only serve Kool-Aid over there, so get your facts straight….

Seriously, though, Mike’s points are well taken.

By: Clif Burns

Clif Burns — Sat, 08 Nov 2008 18:36:34 +0000

Mike, you’ve said something nice about OFAC. Are you feeling okay?

By: Mike Deal

Mike Deal — Sat, 08 Nov 2008 17:10:29 +0000

For once, OFAC has imposed a sanction that makes sense, will hurt the target somewhat, is consistent with their statutory delegation of power, and doesn’t shoot ourselves in the foot. Are those guys feeling OK? Did somebody put something in their tea?

By: Clif Burns

Clif Burns — Fri, 07 Nov 2008 13:26:22 +0000

Ex-OFAC, it should probably also be noted that for blocked Iranian entities, U-Turn transactions won’t be simply rejected; they will be blocked by the U.S. bank processing them.

By: Ex-OFAC

Ex-OFAC — Fri, 07 Nov 2008 12:51:16 +0000

This is simply to note that OFAC had designated more than Banks Saderat and Sepah under sanctions other than the Iran program, making them ineligible for the U-turn license (that only authorized transactions under the Iran program). Virtually all the major Iranian banks (Tejarat excepted) are now blocked, and virtually all U.S. banks had stopped handling U-turn transactions for any Iranian banks for reputational reasons. Thus, while of some impact, the OFAC revocation of this license has less importance on the ground than in the PR sphere.

By: Kristine CAMS

Kristine CAMS — Fri, 07 Nov 2008 09:25:58 +0000

From announcement: This action will take effect when the amendment to the regulations is published in the Federal Register on November 10, 2008.

Acton is not yet on Recent Actions page nor in the IRAN Sanctions Program Overview.