Administrative Subpoenas

Administrative Subpoenas: Navigating the OFAC administrative subpoena process

The OFAC Lawyers at Sanctions Law Center offer expert advice to help you navigate OFAC investigations, including OFAC administrative subpoenas. We will help you understand the specific circumstances you are in and draft a response to OFAC’s inquiries.

What is an OFAC Administrative Subpoena?

An administrative subpoena is an order issued by a U.S. government agency compelling a person or entity to provide documents, records, testimony, or other information relevant to their regulatory functions or an investigation. Administrative subpoenas are issued as an administrative act rather than a judicial one, made entirely on the authority of the government agency without the approval of a judge. Receiving an OFAC subpoena means serious business and we strongly recommend that you discuss the matter with one of our OFAC Lawyers at the Sanctions Law Center.

The Office of Foreign Assets Control (OFAC), the agency responsible for administering U.S. sanctions programs, uses administrative subpoenas to obtain information relevant to their investigations of possible violations of U.S. sanctions programs. OFAC subpoenas can clearly be identified by a large, bold heading labeling it an “ADMINISTRATIVE SUBPOENA” and will have a case number assigned to it starting with “ENF.”

Under 50 U.S. Code § 1702 and 31 C.F.R. § 501.602, OFAC may issue subpoenas demanding “complete information relative to any act or transaction… relative to any property in which any foreign country or any national thereof has or had any interest of any nature whatsoever, direct or indirect.” OFAC may also issue subpoenas demanding complete information relative to transactions in foreign exchange, payments or credit transfers involving the interest of a foreign country or national between, by, through, or to any financial institution, and the import or export of currency or securities. OFAC may subpoena “any books, contracts, letters, papers, or other hard copy or electronic documents” relevant to the inquiry at hand, as well as conduct investigations, hearings, examine and compel the testimony of witnesses, and take depositions.

Why does OFAC Issue Administrative Subpoenas?

Administrative Subpoenas are an essential tool in OFAC’s enforcement of U.S. sanctions programs, empowering them to demand information needed to investigate potential violations. If you have received a subpoena from OFAC, it means that they suspect that you have either committed a sanctions violation, or at least have information relevant to their investigation of a sanctions violation. OFAC may also use administrative subpoenas to further U.S. national security in other ways, e.g. in order to investigate North Korea’s nuclear weapons program.

The most common case is when OFAC believes you or your organization has done business with a sanctioned territory, person, or entity. Any transaction or activity involving a sanctioned party or their property, even if it involves a recently designated party or falls under an OFAC license, may be grounds for an OFAC Administrative Subpoena.

Is an OFAC Request for Information the same as an OFAC subpoena?

No. While they may sound similar, they carry different weight. An OFAC Request for Information (RFI) is typically used in less serious situations, such as when OFAC needs clarification, additional documents, or when seeking information from non-U.S. persons. It’s essentially a request—important to handle carefully—but it does not carry the force of law.

An OFAC subpoena, by contrast, is a legally binding demand for records under 31 C.F.R. § 501.602. A subpoena must be answered, and failure to respond can result in penalties.

What do I do if I’ve Received an OFAC Administrative Subpoena?

We strongly suggest that you immediately consult with one of our OFAC Lawyers at the Sanctions Law Center. Receiving an OFAC subpoena means that you will be required to provide OFAC with a written response to all of their inquiries within 30 days of the subpoena date. You may request additional time if 30 days is not long enough to prepare a response. A failure to respond within the given window of time can result in penalties from OFAC. Moreover, they may ask a judge to file an order compelling a response to the subpoena, and continued refusal to respond will result in criminal charges for contempt of court.

You cannot challenge an OFAC subpoena in court. The only way to obtain any changes to the subpoena itself is to make a request to OFAC directly.

When submitting your response, you should answer any questions posed by OFAC and include everything requested in the subpoena. It’s especially important to ensure everything included is factually accurate. Knowingly and willfully making any factual inaccuracies or misleading statements can result in a criminal prosecution for perjury under 18 U.S. Code § 1001.

How Our Firm can Help

It’s extremely dangerous to navigate an investigation by a U.S. government agency without legal advice. While technically possible, it means facing intense and often hostile government scrutiny completely unsupported. At Sanctions Law Center, we have experienced OFAC Lawyers ready to review your case, get your questions answered, interact with OFAC on your behalf, and ultimately prepare a response to their requests for information. We will also help you and your team prepare for any potential OFAC interviews.

Administrative subpoenas are confusing and dangerous to navigate without expert legal advice. The OFAC Lawyers at Sanctions Law Center can give your business the support you need to survive intense scrutiny with your operations and reputation intact.

If you are facing an OFAC Administrative Subpoena or need assistance with compliance issues, contact us today or call (202) 914-1545. Our experienced team is here to help you navigate the challenges of compliance and build a strong foundation for your organization’s future.