All U.S. persons, including individuals and organizations, must comply with OFAC regulations. U.S. citizens and residents, U.S.-based companies, and their foreign subsidiaries are included. This also applies to financial institutions and businesses operating internationally that have U.S. ties. Compliance ensures that transactions do not benefit sanctioned parties or countries. Failure to comply can lead to civil or criminal liability, penalties, and reputational damage. Organizations must maintain robust compliance programs and document all screening and reporting activities.
