Background

The Office of Foreign Assets Control announced July 30 sanctions on seven entities and five individuals based in China, Hong Kong, and Iran for procuring various components, including accelerometers and gyroscopes, that serve as key inputs to Iranʼs ballistic missile and unmanned aerial vehicle program. OFAC states that Iranʼs acquisition of these components continues to enable its proliferation of weapons systems to its proxies in the Middle East and to Russia.

As a result of these sanctions, all property and interests in property of the designated entities and persons that are in the U.S. or in the possession or control of U.S. persons are blocked and must be reported to OFAC. Any entities that are owned, directly or indirectly, 50 percent or more by one or more blocked persons are also blocked. All transactions by U.S. persons or within (or transiting) the U.S. that involve any property or interests in property of designated or otherwise blocked persons are prohibited unless authorized by a general or specific license issued by OFAC or exempt.

For more information on these sanctions and how they may affect your business, please contact attorney Kristine Pirnia at (202) 730-4964 or via email.

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