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If you hold a bank account in a sanctioned Russian bank, it is crucial to understand the current Russian sanctions regulations to comply with them. In light of recent events, the U.S. has expanded its sanctions against Russia. The U.S. has sanctioned several Russian financial institutions, which in turn prohibits U.S. persons from opening and/or maintaining accounts in those designated banks.
Here is what you need to know if you have an account in a sanctioned Russian bank:
The U.S. Department of the Treasury's Office of Foreign Assets Control (OFAC) regularly issues general licenses outlining specific deadlines for winding down and closing bank accounts held by U.S. persons within sanctioned Russian banks. U.S. persons are authorized to transfer their funds and close their accounts during the stated timeline without having to obtain additional authorization from OFAC. Further, U.S. persons who are account holders are obligated to ensure that their accounts are closed before the stated deadlines on general licenses issued by OFAC. Given these circumstances, it is important to consistently monitor OFAC's general licenses as they may provide you with a window of opportunity to securely close your account, avoiding any violations of U.S. sanctions regulations and legal complications.
If you fail to meet the aforementioned deadlines, you may be required to apply for a specific license from OFAC to transfer the funds and/or to close your accounts held in sanctioned Russian financial institutions.
We strongly advise seeking professional guidance to help navigate this matter, given that the current sanctions regulations are subject to frequent updates. If, for any reason, you wish to retain and/or maintain your account within a sanctioned Russian bank, it is imperative to consult a legal expert to obtain the necessary guidance.
Our firm is available to provide comprehensive guidance on this matter. We are committed to assisting you with your legal needs. Please do not hesitate to contact us to discuss your situation and receive expert advice tailored to your specific needs.
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