OFAC Okays Dialogue with Sanctioned Parties

The Treasury reversed its denial of an application in 2022 to host small group, direct engagement conferences which include the participation of sanctioned individuals.

The Foundation for Global Political Exchange, Inc. (GPE) had planned to invite several sanctioned persons to speak in Beirut, Lebanon, at its 21st Beirut Exchange which took place in January 2023.

In advance of the Beirut Exchange, GPE requested guidance from OFAC clarifying that including the Speakers in the event was not prohibited by U.S. sanctions. In the alternative, GPE requested a specific license to include the Speakers in its event.

Citing regulations that "prohibit U.S. persons from engaging in any transaction or dealing in property or interests in property of"  sanctioned individuals, OFAC forbade the exchange..

"Treasury refused to allow us to include them, because, in its view, arranging political dialogues with designated individuals would violate the law by providing “a platform for them to speak," wrote Foundation Director Nicholas Noe and General Counsel Joshua Andresen at the time.

In a settlement published Wednesday OFAC revoked its denial, citing "The International Emergency Economic Powers Act (IEEPA) provides that the authority granted to the President by IEEPA “does not include the authority to regulate or prohibit, directly or indirectly . . . any  postal, telegraphic, telephonic, or other personal communication, which does not involve a transfer of anything of value . . . or, the importation from any country, or the exportation to any country, whether commercial or otherwise, . . . of any information or informational materials.” 50 U.S.C. § 1702(b)(1), (3).

As the Foundation proposed no financial transaction or payment, provided no lodging, food or transportation, and is not acting "on behalf" of or providing specialized training or assistance to the sanctioned individuals, no authorization is necessary.