OFAC Updates FAQs on Free Speech and Cuba

Treasury's Office of Foreign Assets Control (OFAC) announced three new Frequently Asked Questions updates, one "basic information," clarifying First amendment protections, and two related to updated Cuban sanctions regulations.

OFAC is publishing one new, basic information Frequently Asked Question (FAQ 1190).

FAQ 1190. Do U.S. sanctions target persons for engaging in political speech, religious practice, or other constitutionally protected activities?

OFAC does not sanction persons for their engagement in activities subject to U.S. constitutional protection, such as protected speech or religious practice or for their religious beliefs; nor do U.S. persons violate OFAC sanctions for engaging in such constitutionally protected activity.

Cuba Updates

OFAC is also publishing two amended Frequently Asked Questions (FAQ 736 and FAQ 757) related to the Cuban Assets Control Regulations (CACR).

736. May the U.S. dollar be used to conduct transactions in Cuba or with Cuban nationals?  

Yes, under certain circumstances. Persons subject to U.S. jurisdiction may engage in transactions in U.S. dollars in Cuba or with Cuban nationals with respect to activity that is authorized pursuant to the Cuban Assets Control Regulations (CACR).

757. Are U.S. banking institutions authorized to process “U-turn” transactions in which Cuba or a Cuban national has an interest?

Yes. Effective May 29, 2024, banking institutions subject to U.S. jurisdiction are authorized to process “U-turn” transactions, i.e., funds transfers originating and terminating outside the United States, provided that neither the originator nor the beneficiary is a person subject to U.S. jurisdiction.