U.S. companies agree to settle violations of Cuban sanctions regulations

Potential civil liability for apparent violations of the Cuban assets control regulations

Potential civil liability for apparent violations of the Cuban assets control regulations

The U.S. Treasury Department’s Office of Foreign Assets Control (OFAC) today announced that two U.S. companies have agreed to settle potential civil liability for apparent violations of the Cuban assets control regulations.

  • A multinational mining firm headquartered in Denver, Colorado agreed to pay approximately $141,000 to settle potential civil liability for four apparent violations of the Cuban assets control regulations. According to the OFAC release [PDF 180 KB], between approximately June 2016 to November 2017, a wholly owned subsidiary (in Suriname) of the U.S. mining firm and subject to the jurisdiction of the United States under the Cuban assets control regulations, purchased Cuban-origin explosives and explosive accessories from a third-party vendor involving four separate transactions. OFAC determined that the multinational mining firm voluntarily disclosed the apparent violations, and that the apparent violations constitute a non-egregious case. 
  • A company located in Parkland, Florida that is affiliated with a distributor of explosives and accessories for mining operations agreed to pay approximately $45,000 to settle potential civil liability for four apparent violations of the Cuban assets control regulations. According the OFAC release [PDF 201 KB], between June 2016 and November 2017, the company and its affiliates in Suriname and Panama on four occasions procured Cuban-origin explosives and related accessories originating from a Cuban entity on behalf of a U.S. company for the U.S. company’s mining project in Suriname. OFAC determined that the company did not voluntarily disclose the apparent violations, but that the apparent violations constitute a non-egregious case. 


For more information, contact a professional with KPMG’s Trade & Customs services:

Doug Zuvich
Partner and Global Practice Leader
E: dzuvich@kpmg.com

John L. McLoughlin
Principal and East Coast Leader
E: jlmcloughlin@kpmg.com

Andy Siciliano
Partner and National Practice Leader
E: asiciliano@kpmg.com

Steve Brotherton
Principal and Global Export and Sanctions Leader
E: sbrotherton@kpmg.com

Luis (Lou) Abad
Principal, Washington National Tax
E: labad@kpmg.com

Irina Vaysfeld
Principal
E: ivaysfeld@kpmg.com

Amie Ahanchian
Principal
E: aahanchian@kpmg.com

Christopher Young
Principal
E: christopheryoung@kpmg.com

Gisele Belotto
Principal
E: gbelotto@kpmg.com

George Zaharatos
Principal
E: gzaharatos@kpmg.com

Andy Doornaert
Managing Director
E: adoornaert@kpmg.com

Jessica Libby
Principal
E: jlibby@kpmg.com

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