InfoBytes Blog
OFAC sanctions Haitian politicians for narcotics trafficking
On November 4, the U.S. Treasury Department’s Office of Foreign Assets Control (OFAC), along with the Government of Canada, announced sanctions pursuant to Executive Order 14059 against two Haitian politicians for having allegedly “engaged in, or attempted to engage in, activities or transactions that have materially contributed to, or pose a significant risk of materially contributing to, the international proliferation of illicit drugs or their means of production.” OFAC said it coordinated its efforts closely with the Drug Enforcement Administration on this designation. As a result, all property, and interests in property of the designated individuals and “any entities that are owned, directly or indirectly, 50 percent or more by one or more blocked persons are also blocked.” OFAC’s regulations also generally prohibit all dealings by U.S. persons or within the United States (including transactions transiting the United States) that involve any property or interests in property of designated or otherwise blocked persons. OFAC also warned that “persons that engage in certain transactions with the individuals designated today may themselves be exposed to sanctions or subject to an enforcement action. Furthermore, unless an exception applies, any foreign financial institution that knowingly facilitates a significant transaction or provides significant financial services for the individuals designated today could be subject to U.S. sanctions.”