OFSI’s report of a sanctions breach that went unpunished is considered by Aziz Rahman

Aziz Rahman wrote an assessment of the Office of Financial Sanctions Implementation’s (OFSI’s) first report of a sanctions breach where a fine was not imposed.

In his piece, which was published by Thomson Reuters Regulatory Intelligence, Aziz details how Wise Payments breached UK sanctions by permitting an employee of a company belonging to a designated person to withdraw £250 from a cash machine. 

He explains the sequence of events in the case and the mitigating factors that led to OFSI deciding not to issue a fine. He emphasises that the case is significant for being OFSI’s first use of its power, under the Economic Crime Act 2022 (ECA), to publicise details of financial sanctions breaches committed after 15 June 2022 where a monetary penalty has not been imposed. 

The article considers OFSI’s track record of enforcement action. It also warns that while the Wise Payments case did not involve huge amounts of money or penalties, companies need to view it as a reminder of the need for sanctions compliance.

The full article can be read here.

Featured at: Thomson Reuters