OFAC adds Sanctions Penalties Regulations to 31 CFR Part 505

The Office of Foreign Assets Control issued a final rule adding Part 505, the Sanctions Penalties Regulations, to 31 CFR chapter V. The rule is effective September 25, 2026 and appears in Federal Register Volume 91, Number 185, pages 60821-60825 (FR Doc No: 2026-19678). It consolidates penalty information previously scattered across individual parts of the chapter without making substantive changes to the penalty provisions.

The Regulations set civil monetary penalties for violations of the International Emergency Economic Powers Act at the greater of $377,700 or twice the value of a transaction. They also provide for penalties under the United Nations Participation Act and reference additional statutes such as the Trading with the Enemy Act, the Antiterrorism and Effective Death Penalty Act, the Foreign Narcotics Kingpin Designation Act, and the Clean Diamond Trade Act.

OFAC will publish certain civil penalties information at least monthly, including the name and location of entities, the sanctions program involved, a brief violation description, settlement or penalty outcome, disclosure status, and penalty amount. Base penalties are halved when OFAC learns of a violation through a voluntary self-disclosure. Willful violations may trigger criminal penalties under 50 U.S.C. 1705, which require a mens rea of willfulness.

The rule is exempt from notice-and-comment procedures under several recent executive orders and the Administrative Procedure Act. Collections of information related to the Regulations are approved under the Paperwork Reduction Act with control number 1505-0164. The Regulations are organized into Subparts A through E, covering general provisions, definitions, IEEPA penalties, and UNPA penalties.