OFAC sanctions enforcement against Interactive Brokers: Important compliance lessons (also) for Swiss financial institutions
OFAC sanctions enforcement against Interactive Brokers: Important…
On 15 July 2025, the U.S. Department of the Treasury's Office of Foreign Assets Control ("OFAC") announced a settlement with Interactive Brokers LLC ("IB"), a U.S.-based global brokerage firm. The case, which resulted in a penalty of nearly USD 12 million, arose from compliance deficiencies related to sanctions screening, client location controls and oversight of introducing brokers.
Although the enforcement action concerns U.S. regulations, it offers highly relevant lessons for Swiss financial institutions. In particular, the case illustrates how U.S. authorities evaluate the effectiveness of sanctions compliance frameworks in digital and cross-border contexts. OFAC's findings underscore the importance of integrating technical access controls (e.g., IP filtering), robust screening and escalation procedures, as well as careful oversight of third-party introducers.