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Complying with OFAC’s “50% Rule”

Government compliance requirements—including OFAC’s “50 percent Rule”—prohibit companies from doing business with organizations where ownership by sanctioned parties exceeds defined percentage thresholds. However, comprehensive information surrounding sanctioned party ownership is not provided as part of government published watch lists.

Fortunately, there’s a highly effective solution to help organizations avoid inadvertently doing business with sanctioned parties.

Enhanced OFAC 50 compliance

Descartes Visual Compliance provides businesses with easy-to-understand information on the percentage of ownership, or control, by denied parties. You can quickly identify when a company that is not on a government watch list would be impacted by OFAC’s “50 Percent rule,” as well as similar rules from other jurisdictions, such as EU Sanctions regulations.

How we can benefit you

The most reliable way of complying with OFAC’s “50 Percent Rule”

  • Enhanced Compliance
    Screening for sanctioned ownership directly in Descartes Visual Compliance helps enhance compliance programs via expanded coverage.
  • Mitigate RiskMitigate risk by identifying sanctioned parties within the ownership structure of your customers, clients, and business partners.
  • Confidence in the DataDescartes Visual Compliance Sanctioned Party Ownership data has been thoroughly vetted by expert analysts providing accurate and up-to-date data.
  • Stay Up to DateKeep track of ownership structure changes, and access data that is constantly updated by industry experts.

Solving compliance challenges

Providing companies with up-to-date information to mitigate potential risks

Testimonial image - Erick Wallace

The initial feedback from the employees was, ‘this is awesome. This is a huge improvement, we love it.’ … Descartes Visual Compliance™ has managed to save us nearly 28,000 man-hours per year, and reduce our compliance risk exposure.

Erick Wallace, Corporate Export Compliance Manager
Testimonial image - Céline Emmenegger

Due to the rising importance of compliance in our sector, we needed an automated screening solution that is efficient and highly reliable. Implementing the Descartes solution has resulted in a more systematic and efficient screening practice, which has significantly reduced costs and risks for the company and its clients.

Céline Emmenegger, Compliance Officer at IFCHOR
Testimonial image - Peter Loftspring

Embedding Descartes Visual Compliance into our internally-developed systems and leveraging its automated screening capability has helped us to keep pace with the growing number of contracts that we manage. The technology increases capacity in the compliance team to focus on more strategic activities, such as training and internal stakeholder engagement.

Peter Loftspring, Black & Veatch’s Senior Vice President and Chief Compliance Manager
Testimonial image - Limor Fried

You can’t grow your business if you keep doing manual screening. Descartes Visual Compliance was very easy to integrate into our existing ERP and sales platform. Now we have an automated way to check every order as it comes in. There’s no manual screening and we only have to go in to check when there is a flag.

Limor Fried, Founder & Lead Engineer Adafruit Industries
Testimonial image - Amy Chen

By automating screening of our trade partner database against denied party lists and determining appropriate export license requirements, Argosy has realized a 75% productivity gain in our compliance practice. Descartes Visual Compliance has allowed us to focus more resources on international growth, better mitigate risk and ensure we achieve 100% trade compliance rates.

Amy Chen, Quality and Compliance Manager at Argosy International Inc.

Solution Highlights

Detailed OFAC 50 results

Receive information-rich results, including pertinent details on ownership percentage by sanctioned individuals or entities.

  • Screen clients, customers, and third parties
  • Easily check percentages of ownership
  • Reveal true ownership
  • Demonstrate OFAC 50 due diligence

Results appear with your OFAC screening

Conveniently investigate potential matches in the same interface that your OFAC search results appear.

  • Single interface
  • Familiar results screen
  • Increased productivity
  • Strengthened compliance

Easily communicate OFAC compliance alerts

Stay on top of your compliance activities with built-in notifications and escalation options, keeping the compliance team and stakeholders up-to-date.

  • Built-in notification system
  • Escalation options
  • Instant alerts
  • Activity prompts

Built-in record keeping and audit trail

Benefit from a full range of audit recording and due diligence systems that automatically records OFAC screening details.

  • Automatically record screening details
  • Easily demonstrate compliance due diligence
  • For internal and official use
  • Single source of truth

Related Solutions

Streamline your compliance journey

Denied Party Screening

Comply with international trade regulations and avoid dealing with unauthorized parties.

Export Classification

Facilitate fast and accurate export classification decisions.

Export Automation

Streamline your export documentation, compliance, and licensing processes.

Take the next step in your compliance journey and experience global trade securely and successfully

Call toll-free 1-877-328-7866 (Intl: 716-881-2590) and talk to one of our compliance consultants.