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pc nid 94264 Jul 27, 2026 pdonofrio@vixio.com US Track 2 U.S. Department of the Treasury horizon scanning
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U.S. Department of the Treasury Removes Sanctions Designations in Second Modernization Initiative Action

On July 27, 2026, the U.S. Department of the Treasury's Office of Foreign Assets Control (OFAC) removed 84 individuals and entities from its Specially Designated Nationals and Blocked Persons List (SDN List) and improved identifying information for 22 additional list entries. This action represents the second major step in Treasury's sanctions modernization initiative, which Secretary of the Treasury Scott Bessent announced in May 2026. The removals target designations no longer considered U.S. national security or foreign policy priorities, including deceased individuals, defunct entities, and targets sanctioned more than 20 years ago that lack sufficient identifying information for effective compliance screening. OFAC conducted interagency review for each removal to ensure no harm to U.S. foreign policy or national security interests. The modernization effort aims to ensure U.S. sanctions remain targeted and effective, measuring success by impact rather than the number of designations. OFAC identified older sanctions entries that sometimes lack routine identifying information now standard for new actions. Where removal was not appropriate, OFAC updated entries by adding identifiers such as place and date of birth, unique identification numbers, nationality, and gender to reduce compliance screening burdens for financial institutions. The action also resolved 18 sets of duplicate entries where the same person or property appeared under separate list entries, removing extras and updating relevant identifiers. On June 29, 2026, OFAC launched an online Reconsideration Portal streamlining the delisting request process for persons and property on OFAC sanctions lists or their authorized representatives. The portal enables submission of delisting petitions and requests for information underlying sanctions determinations, requiring key biographic and baseline information to efficiently adjudicate petitions under 31 Code of Federal Regulations Section 501.807.

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US Office of Foreign Assets Control Removes Sanctions Designations in Second-Round Modernization Initiative

On July 27, 2026, the US Office of Foreign Assets Control (OFAC) removed 84 individuals and entities from its Specially Designated Nationals (SDN) list, as well as improving identifying information for 22 additional list entries. The action represents the second major step in OFAC's sanctions modernization initiative, which was first announced in May 2026. The removals target designations no longer considered US national security or foreign policy priorities, including deceased individuals, defunct entities and targets sanctioned more than 20 years ago that lack sufficient identifying information for effective compliance screening. According to OFAC , it conducted interagency review of each removal to ensure no harm to US foreign policy or national security interests. Where removal was not appropriate, OFAC updated entries by adding identifiers such as place and date of birth, unique identification numbers, nationality and gender to reduce compliance screening burdens for financial institutions. The action also resolved 18 sets of duplicate entries where the same person or property appeared under separate list entries.