Administrative

Final reminder: frozen assets reporting 2019

OFSI is conducting its annual frozen assets review. If you hold or control funds or economic resources belonging to, owned, held, or controlled by a designated person you are required to submit a report to the Treasury’s OFSI by Friday 11 October 2019.

Your report should include details of all funds or economic resources frozen in the UK as well as those overseas where these funds or economic resources are subject to UK financial sanctions legislation. Your report to OFSI should include the value of all such assets as of close of business on Monday 30 September 2019.

All completed reports should be emailed to ofsi@hmtreasury.gov.uk using the template on the GOV.UK website.

Please ensure that any changes to previous frozen asset reporting submissions are clearly identified and explained.

If you have already submitted your return, or have no information to report, please ignore this email.

Link:

OFSI Notice

The Danish FSA’s assessments of financial companies

The Danish Financial Supervisory Authority prepares a brief statement after each inspection in a financial company. The statement must be published on the company’s website and all statements can also be viewed here on the website.

The reports describe the Danish FSA’s assessment of the companies, including the central injunctions, prosecutions and risk information provided by the FSA on the basis of the inspections. The financial companies must publish the statements no later than 3 days after they receive them. Shortly after the companies’ own publication, the statements can also be found here.

The Inspectorate may also, between inspections, prepare a public statement of risk information, injunctions or prosecutions that are deemed to be of significance to the company’s customers, shareholders or others. 

The statements can be sorted alphabetically, by date or by business area. Below you can see the last 20 statements.

There are 3 new ones, so we will be posting those – and checking in on this page periodically for new ones.

Link:

Finanstilsynet Inspection report page

Reminder for the Annual Report of Blocked Property

On July 1, 2019, the Office of Foreign Assets Control (OFAC) issued a recent action notice, reminding holders of property blocked pursuant to OFAC sanctions regulations published in Chapter V of Title 31 of the Code of Federal Regulations (C.F.R.) of the requirement to provide OFAC with an Annual Report of Blocked Property (ARBP).  Persons subject to this reporting requirement must submit a comprehensive report, as outlined in 31 C.F.R. § 501.603, of all blocked property held as of June 30 of the current year by September 30.    

The annual reports must be filed using the mandatory spreadsheet form TD F 90-22.50, which is available on OFAC’s Reporting and License Application Forms webpage.  Please send the completed form to OFACReport@treasury.gov.  Failure to submit a required report by September 30 constitutes a violation of the Reporting, Procedures and Penalties Regulations, 31 C.F.R. part 501.  

 

For more information, click here to view OFAC’s Guidance on Filing the ARBP.

Link:

OFAC Notice

The numbers still aren’t enormous – 70,000 GBP total has been frozen under the ISIL/Al-Qaida regime, 18,000 under EU Reg 2580/2001 and 9,000 under TAFA. There were 45 total accounts frozen as of the end of the quarter, and only 2 new designations (both ISIL/AL-Qaida) and 4 delistings (also all ISIL/Al-Qaida) this quarter. There was one TAFA renewal.

Link:

April-June 2019 TAFA Report

Background

1. Financial sanctions legislation applicable in the UK requires that all funds or economic resources belonging to, owned, held or controlled by a designated person must be frozen. Under this legislation the Treasury, through its Office of Financial Sanctions Implementation (OFSI), can request information you may possess for the purpose of, among other things, monitoring compliance with the legislation.

Frozen Asset Reporting (2019)

2. Every year the Treasury carries out a review to update our records to reflect any changes to these assets during the reporting period. As part of this review, the Treasury requires all persons that hold or control funds or economic resources belonging to, owned, held, or controlled by a designated person, to provide a report to us with the details of these assets. If you possess this information you are requested to complete such a report and submit it to OFSI by Friday 11 October 2019.

3. Your report should include details of all funds or economic resources frozen in the UK as well as those overseas where these funds or economic resources are subject to UK financial sanctions legislation. Accounts blocked solely by other national authorities (e.g. OFAC) do not need to be reported to us. Your report to OFSI should include the value of all such assets as at close of business on Monday 30 September 2019. For a general description of what should be reported please see the Annex to this Notice.

4. All completed reports should be emailed to ofsi@hmtreasury.gov.uk using the template on the GOV.UK website:

https://www.gov.uk/government/publications/annual-frozen-asset-review-and-reporting- form

5. There is no need to provide a nil return to OFSI if you do not hold or control funds or economic resources belonging to, owned, held, or controlled by a designated person. However, if you submitted a report last year (other than a nil return) and no longer hold those assets, please submit a nil return.

What you should do now

6. You should identify all of the funds or economic resources belonging to, owned, held or controlled by designated persons that are held or controlled by you. You should report all identifying information concerning those funds or economic resources, along with their value as at 30 September 2019, to OFSI no later than 11 October 2019.

7. You should ensure that one person in your organisation is responsible for collating and sending in your return to avoid duplication.

8. Failure to comply with financial sanctions legislation or seeking to circumvent its provisions is a criminal offence. Such conduct could lead to either a criminal conviction or civil or administrative action by OFSI. This might include the imposition of a monetary penalty of up to either £1 million or 50% of the monetary value of the breach, whichever is greater. Guidance on OFSI’s enforcement can be found here:

https://www.gov.uk/government/publications/monetary-penalties-for-breaches-of-financial- sanctions

9. If you have a question regarding this exercise you should contact OFSI immediately by emailing: ofsi@hmtreasury.gov.uk.

Ongoing compliance

10. Separately to the above, you are required on an ongoing basis to:

I. check whether you hold or control any funds or economic resources belonging to, owned, held, or controlled by the persons listed on the Treasury’s Consolidated List of asset freeze targets;

II. if yes to (i) above, freeze such funds or economic resources;

III. refrain from dealing with the funds or economic resources or making the funds or

economic resources available to, or for the benefit of, such persons unless licensed by

OFSI;

IV. report any findings to OFSI, together with any additional information that would

facilitate compliance with the legislation; and

V. provide any information concerning the frozen funds or economic resources of

designated persons that OFSI may request. Information reported to OFSI may be passed on to other regulatory authorities or law enforcement.

11. Your reporting obligations to OFSI are set out in Chapter 5 of OFSI’s guide to financial sanctions: https://www.gov.uk/government/publications/financial-sanctions-faqs.

12. You should not wait for the reporting deadline above to report newly frozen funds or economic resources to OFSI. All newly frozen funds or economic resources must be reported immediately.

Data Protection

13. Please note that all information reported to OFSI will be handled in accordance with the General Data Protection Regulation and/or the Data Protection Act 2018.

Further Information

14. For more information please see OFSI’s guide to financial sanctions: https://www.gov.uk/government/publications/financial-sanctions-faqs.

Enquiries

15. Non-media enquiries, reports and licence applications should be addressed to:

Office of Financial Sanctions Implementation HM Treasury

1 Horse Guards Road

London

SW1A 2HQ

Phone: 020 7270 5454

E-mail: ofsi@hmtreasury.gov.uk

16. Media enquiries about how financial sanctions are implemented in the UK should be

addressed to the Treasury Press Office on 020 7270 5238.

17. Media enquiries about the sanctions measures themselves should be addressed to the Foreign and Commonwealth Office Press Office on 020 7008 3100.

Link:

OFSI Notice

Hi –

Mr. Watchlist has noted that, when country-specific designations are made, they often have a special focus – like shipping networks or financing networks. So, I’ve added a new category called Designation Focus, which initially has Financing and Shipping as sub-categories. Friday’s DPRK designations by OFAC were shipping-focused, so that one was posted under Shipping.

As I see the need for other subcategories, I will add them – but I hope you find these useful over time.

Consolidated list updated links published today

Today, OFSI has published new links to the consolidated list, the system it uses to publish the details of individuals and entities subject to financial sanctions.

Updating bookmarks

The current pages that contain the consolidated list will be removed. It is important that any bookmarks to the old pages are now updated to the new pages below.

 

List of asset-freeze targets

CSV: https://ofsistorage.blob.core.windows.net/publishlive/ConList.csv

HTML: https://ofsistorage.blob.core.windows.net/publishlive/ConList.html

PDF: https://ofsistorage.blob.core.windows.net/publishlive/ConList.pdf

TXT: https://ofsistorage.blob.core.windows.net/publishlive/ConList.txt

XLS: https://ofsistorage.blob.core.windows.net/publishlive/ConList.xls

XSLX: https://ofsistorage.blob.core.windows.net/publishlive/ConList.xlsx

XML: https://ofsistorage.blob.core.windows.net/publishlive/ConList.xml

 

List of targets subject to restrictions on financial markets and services

CSV: https://ofsistorage.blob.core.windows.net/publishlive/InvBan.csv

HTML: https://ofsistorage.blob.core.windows.net/publishlive/InvBan.html

PDF: https://ofsistorage.blob.core.windows.net/publishlive/InvBan.pdf

TXT: https://ofsistorage.blob.core.windows.net/publishlive/InvBan.txt

XLS: https://ofsistorage.blob.core.windows.net/publishlive/InvBan.xls

XLSX: https://ofsistorage.blob.core.windows.net/publishlive/InvBan.xlsx

XML: https://ofsistorage.blob.core.windows.net/publishlive/InvBan.xml

 

Please note that the .xls format will be retired in the coming months and subscribers should arrange to change to the .xlsx version. We will inform subscribers when this will take place, in advance of the change.

Search function

In addition to the usual list which includes details of individuals and entities subject to financial sanctions, the consolidated list now includes a new search function. This will enable users to quickly and easily search the consolidated list to find asset freeze targets based on any of the identifying information from their listing. 

The search tool can also use fuzzy logic to help provide direct and/or indirect results. This means the search can return results even where search terms are incorrectly spelt.

New format

In addition to the existing formats OFSI currently publishes the consolidated list in, it will now also be published as an .xml file.