OFAC Compliance

OFAC (Office of Foreign Assets Control) compliance involves adhering to U.S. government sanctions that restrict transactions with certain countries, entities, and individuals to protect national security and foreign policy interests. It requires businesses to screen their customers, partners, and transactions to ensure they are not dealing with sanctioned parties. This helps prevent illegal activities like money laundering or terrorism financing. Non-compliance can result in severe fines and penalties, so organizations must establish rigorous controls, stay informed about sanctions, and ensure their operations align with OFAC regulations.