The Department of the Treasury's Office of Foreign Assets
Control (OFAC) recently issued Bulletin 96110 relating to
the Anti-Terrorism Act. It states that banks located in
the United States and U.S. banks located offshore must reject
transfers, in the form of gifts or charitable contributions,
from the government of Syria, the government of Sudan, or
entities owned or controlled by either government unless
the bank knows or has reasonable cause to believe that the
transaction poses a risk of furthering terrorism in the
United States, in which case the transfers should be accepted
and the funds retained by the bank.
Banks should immediately notify OFAC Compliance about
any retained items. Rejected items are to be reported to
OFAC within 10 business days of rejection. For the purposes
of this program only, transfers not originated by the governments
of Syria or Sudan, including their central banks and government
owned-or-controlled banks acting for their own accounts,
but transferred to the United States through one of those
banks, are not considered to be prohibited financial transactions
with the government of Syria or with the government of Sudan.
In FIL-36-95, dated May 19, 1995, the FDIC provided information
about OFAC and a series of laws administered by OFAC that
impose economic sanctions against targeted hostile foreign
countries. Also provided in FIL-36-95 were details about
the availability of computer-based, up-to-date OFAC data.
Please distribute this information to the appropriate
persons in your institution. For questions about this notice
or the procedures to block accounts, please call OFAC's
Compliance Programs Division at 1-800-540-6322.
Nicholas J. Ketcha Jr.
Distribution: FDIC-Supervised Banks (Commercial and Savings)