OFAC FAQ #210 · Iran Sanctions

What are the consequences for a U.S. financial institution that maintains or opens a new correspondent or payable-through account for Bank of Kunlun?

OFAC's answer

Context Information: This FAQ is associated with the [Comprehensive Iran Sanctions, Accountability, and Divestment Act of 2010 (CISADA)](https://ofac.treasury.gov/faqs/search?search_api_fulltext=&fulltext_phrase_search=This+FAQ+is+associated+with+the+Comprehensive+Iran+Sanctions%2C+Accountability%2C+and+Divestment+Act+of+2010+%28CISADA%29). A U.S. financial institution that maintains or opens a [correspondent](https://www.ecfr.gov/cgi-bin/text-idx?SID=f001609e54e2c4adcbab5dafe63ba4a7&mc=true&node=se31.3.561_1306&rgn=div8) or [payable-through account](https://www.ecfr.gov/cgi-bin/text-idx?SID=f001609e54e2c4adcbab5dafe63ba4a7&mc=true&node=se31.3.561_1307&rgn=div8) for Bank of Kunlun is subject to civil penalties in the amount of up to $250,000 or twice the value of the transaction, whichever is greater. Criminal penalties of up to $1 million can be imposed for willful violations, and individuals who willfully violate the prohibition can face up to 20 years in prison.

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