On July 26, 2023, the US Department of Justice, the US Department of Commerce’s Bureau of Industry and Security (“BIS”) and the US Department of the Treasury’s Office of Foreign Assets Control issued a Tri-Seal Compliance Note that summarizes the procedures that private companies should follow in order to voluntarily self-disclose potential violations of US sanctions and export control laws to the DOJ, BIS and OFAC. The Note also contains recent updates made to these policies. In the Note, the Departments emphasize the importance of complying with US sanctions and export controls and how the timely reporting of possible violations can reduce the threats posed by malicious actors and ultimately protect US national security interests. The Departments also discuss how businesses that promptly report potential violations might be eligible for significant mitigation of civil or criminal liability and, depending upon the agency, lead to non-prosecution agreements or a 50 percent reduction in the base penalty amount for the violation(s).
The Note also contains a discussion on the Financial Crimes Enforcement Network’s (FinCEN”) anti-money laundering and sanctions whistleblower program, which is designed to incentivize individuals in the US and abroad to share information regarding potential US trade and economic sanctions violations and Bank Secrecy Act (“BSA”) violations.
Department of Treasury Recent Action | Tri-Seal Compliance Note: Voluntary Self-Disclosure of Potential Violations