The U.S. this week sanctioned nine Mexicans and 26 Mexico-based entities with ties to a network that steals fuel to generate revenue for the Cartel Jalisco Nueva Generacion, a sanctioned Mexican drug trafficking group. The network has generated “tens of millions of dollars” for the cartel through fuel theft from Mexico’s state-owned petroleum company, Pemex, including by illegally drilling taps into fuel pipelines, stealing from refineries and hijacking tanker trucks, the Treasury Department said.
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The banking industry’s increasing overcompliance with U.S. sanctions is leading to an uptick in unnecessary financing delays and transaction cancellations, nongovernmental organizations told the Treasury Department. They said the issues are causing hurdles for humanitarian groups trying to deliver aid abroad and raising discrimination concerns among foreigners living in the U.S.
Morgan Finkelstein is leaving her role as spokesperson for the Treasury Department's Terrorism and Financial Intelligence office to become the national security spokesperson for Vice President Kamala Harris' presidential campaign, Finkelstein announced this week on LinkedIn. She has been at Treasury since 2021, where she has served as the agency's senior spokesperson for sanctions issues overseen by the Office of Foreign Assets Control, anti-money laundering and counterterrorism financing matters for the Financial Crimes Enforcement Network, and more.
The U.S. this week sanctioned 10 people and two entities involved in Russian government “influence operations,” including state-funded news outlets and their employees.
The Office of Foreign Assets Control published a new alert this week detailing Russian attempts to evade sanctions by opening new overseas branches and subsidiaries.
A financial software company recently disclosed to the Office of Foreign Assets Control that it may have violated U.S. sanctions by allowing its services to be used by customers in restricted countries.
The U.S. removed sanctions from a former board member of one of Russia’s largest private banks more than two years after he submitted a delisting petition and about 10 months after he sued the State Department for stalling a decision on that petition without explanation.
The Office of Foreign Assets Control updated two frequently asked questions related to its Cuba restrictions. One FAQ outlines the circumstances under which the U.S. dollar can be used to conduct transactions in Cuba or with Cuban nationals, and another explains that U.S. banks are allowed to process “U-turn” transactions involving Cuba. OFAC issued a final rule in May to authorize those transactions -- which allow people to transfer funds if those transfers originate in the U.S. and terminate outside the U.S. and “where neither the originator nor beneficiary is subject to U.S. jurisdiction” -- along with other measures to loosen its Cuba restrictions (see 2405280033).
The Office of Foreign Assets Control doesn’t use its sanctions to target people for activities protected by the U.S. Constitution, including protections of free speech, religious practices and religious beliefs, the agency said in a new frequently asked question published Aug. 27. It said U.S. people and companies don’t violate sanctions “for engaging in such constitutionally protected activity,” adding that “limitations and authorizations are in place to ensure that U.S. sanctions do not restrict the exchange of information or informational materials, or personal communication.” People and companies don’t need OFAC authorization to “engage in activities that are not prohibited by or are otherwise exempt from sanctions,” the agency said. It said questions about sanctions and constitutionally protected activities should be directed to OFAC’s online compliance hotline.