US Sanctions Update - U.S. Bans Foreign Subsidiaries of U.S. Companies from Doing Business with Iran
On October 9, 2012, the president issued an Executive Order implementing sanctions set forth in the Iran Threat Reduction and Syria Human Rights Act of 2012, which bars foreign subsidiaries of U.S. companies from engaging in most transactions with Iran and making the U.S. parent companies liable for violations by their foreign subsidiaries. Prior to October 9, such foreign subsidiaries were subject to extraterritorial U.S. sanctions that applied to transactions relating to Iran's petroleum and with certain barred entities, but not to the broad U.S. sanctions on Iran that apply to U.S. entities. However, the U.S. parent and U.S. citizens, wherever located, were and are prohibited from facilitating transactions with Iran that they cannot enter into directly.Final Rule regarding Iranian Sanctions Regulations
The Office of Foreign Assets Control ("OFAC") published a final rule on October 22, 2012 reissuing the Iranian Transactions Regulations ("ITR") in their entirety and changing the heading of the regulations to the Iranian Transactions and Sanctions Regulations ("ITSR"). The ITR, located at 31 C.F.R. Part 560, were created to implement a series of Executive Orders addressing various transactions with Iran. The ITSR updates the ITR to implement relevant sections of the National Defense Authorization Act for Fiscal Year 2012 ("NDAA") and Executive Order 13599, titled "Blocking Property of the Government of Iran and Iranian Financial Institutions" issued February 5, 2012 under the authority of the NDAA. OFAC also revised the general licenses and incorporated its statement of licensing policy, which had previously appeared only on OFAC's website. The ITSR are effective immediately.Amendments to the Iranian Financial Sanctions Regulations
On November 8, 2012, OFAC promulgated amendments to the Iranian Financial Sanctions Regulations to implement provisions in the Iran Threat Reduction and Syria Human Rights Act of 2012. The amendments expand the categories of sanctionable activities and expand application of the regulations to a foreign financial institution that the Secretary of the Treasury finds: (1) knowingly facilitates or participates or assists in a prohibited activity; (2) attempts or conspires to facilitate or participate in such an activity; or (3) is owned or controlled by a foreign financial institution that the Secretary finds knowingly engages in such activity. The amendments come into effect immediately. 77 Fed. Reg. 66918.OFAC Issues Updated list of Specially Designated Nationals
On November 8, 2012, OFAC updated its list of Specially Designated Nationals ("SDNs") subject to the U.S. economic sanctions with respect to Iran. Included on the list are the National Iranian Oil Company ("NIOC"), the Islamic Republic of Iran Shipping Lines ("IRISL"), and a variety of maritime entities.
Monthly Maritime Report November 2012 (184 KB)
You may also be interested in:
In October 2016 the U.S. Treasury, Office of Foreign Assets Control ("OFAC") announced further amendments to the Cuban Asset Control Regulations ("CACR"), which restrict the scope of the application of the "180 day rule," by permitting ships to carry a wider range of cargos to be imported to Cuba from third countries without their being subject to the '180 day rule'.
Members will have noted the decision by President Trump announced on May 8 to withdraw the USA from participation in the JCPOA (Joint Comprehensive Plan of Action) agreed between Iran, the EU, and the P5+1 (the five permanent members of the United Nations Security Council - China, France, Russia, United Kingdom, United States - plus Germany), and to re-impose US nuclear-related sanctions.
QCR Winter 2018: Claim for unjust enrichment - At what point in time was the bank enriched in respect of payment made by a borrower who was subject to a sanctions regime - Limitation Act 1980
Sixteenth Ocean GMBH & Co KG (“16th Ocean”), a subsidiary of the Islamic Republic of Iran Shipping Lines (IRISL), entered into a shipbuilding contract with Hyundai Heavy Industries Co Ltd (Hyundai) for the construction of a container carrier by Hyundai and its purchase by the IRISL subsidiary. 16th Ocean entered into a loan agreement with three lenders, including Societe Generale (SocGen), to finance the construction and the purchase of the vessel.
The UK Club Correspondent, GAC Shipping Ltd, would like to remind Members of the commencement of bulk crew changes of international seafarers from 22nd December 2020, through the Offshore Crew Transit Hub (OCTH) operated by a Public-Private-Partnership (PPP).