Two Companies Fined for Violating Iran Sanctions
The Treasury Department’s Office of Foreign Assets Control announced Nov. 8 the following penalties for alleged violations of the Iranian Transactions Regulations.
• A Minnesota company has agreed to pay $15,000 to settle allegations that it sold and exported punch press tooling equipment to an entity in Iran without an OFAC license. The base penalty amount for the alleged violation was $25,000, and the settlement amount reflects OFAC’s consideration of the following: the company did not voluntarily self-disclose the alleged violation, the incident constituted a non-egregious case, the company has not been the subject of prior OFAC penalties or other administrative actions, and the company cooperated by promptly responding to OFAC’s administrative subpoenas and entering into a statute of limitations tolling agreement.
• An Alabama company will pay $5,400 to settle allegations that it engaged in a transaction related to goods destined for Iran and facilitated the exportation of goods from a third country to Iran by a foreign person without an OFAC license. The base penalty amount for the alleged violation was $10,000, and the settlement amount reflects OFAC’s consideration of the following: the company did not voluntarily disclose the apparent violation, the incident constituted a non-egregious case, the company appears to have lacked an OFAC compliance program at the time of the alleged violation, the company had knowledge or reason to know that the goods were destined for Iran, the company was not the subject of an OFAC enforcement action in the five years preceding the transactions at issue, the goods may have been eligible for an OFAC license, and the company cooperated with OFAC’s investigation, including by agreeing to toll the statute of limitations.