The U.S. Department of the Treasury's Office of Foreign Assets Control (OFAC) today announced that Fracht FWO Inc. (Fracht), a freight forwarder whose principal place of business is in Houston, Texas, has agreed to pay $1,610,775 to settle its potential civil liability for apparent violations of multiple OFAC sanctions programs, including those on Venezuela and Iran. Fracht contracted with a blocked Government of Venezuela airline to transport goods to Argentina from Mexico on behalf of its customer. The blocked Venezuelan airline used an aircraft blocked by OFAC for being operated by Iran's Mahan Air, which is sanctioned under U.S. terrorism and proliferation authorities. OFAC found Fracht's conduct was egregious and not voluntarily self-disclosed.
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