OFAC License for SPB Bank Assets: Why It Is Important to Act Through American Lawyers

After the United States imposed sanctions against SPB Bank, many investors faced the blocking of foreign securities and cash. Formally, the assets still belong to the investors. However, they cannot dispose of them because of sanctions restrictions and the position of financial intermediaries.

In this situation, a special OFAC license becomes the key legal instrument. It is an individual authorization issued by the U.S. sanctions regulator. A special OFAC license may allow specific actions with blocked assets, including transfer, unblocking, sale of securities, change of the custody chain, or another permitted transaction.

It is important to understand that if the assets are blocked because of U.S. sanctions against SPB Bank, the main legal solution lies in the U.S. jurisdiction. Therefore, the application must be addressed to OFAC, and not only to Russian brokers, depositories, or European regulators.

Why a Simple OFAC Application Does Not Work

Many investors have already filed an OFAC application on their own or through Russian lawyers. However, applications submitted about two years ago still show no significant progress. As of today, there is no confirmed market practice of issuing OFAC licenses for assets connected with SPB Bank.

The main problem is that OFAC has no strict procedural deadline for reviewing an application and issuing a decision. As a result, a formal filing may lead to many years of waiting without any clear outcome.

This is critical for the investor. Each year of waiting means new losses:

• the assets remain blocked;
• the investor cannot sell securities;
• the investor cannot switch to other investment instruments;
• corporate events may occur that the investor cannot fully control;
• the market value of the securities may change;
• legal uncertainty remains;
• the risk of further restrictions from brokers, depositories, and banks increases.

That is why the strategy of simply filing an OFAC application and waiting is often ineffective. In sanctions matters, it is important not only to submit documents. It is also necessary to professionally advance the application, respond to possible questions from the regulator, and build a legal position based on U.S. sanctions practice.

Why American OFAC Lawyers Are Needed

To actually move the application forward, investors need American OFAC lawyers. These lawyers understand the internal logic of the sanctions process, have experience communicating with the regulator, and can handle the matter directly in the United States.

Russian lawyers can help collect documents, describe the situation, and prepare an initial analysis. However, effective interaction with the U.S. regulator requires professionals who work within the American legal system and have practical experience in sanctions cases.

The process requires more than a simple filing. It requires a full legal strategy, including:

• analysis of the sanctions status of the assets;
• preparation of a legal position;
• description of the custody chain;
• confirmation of the investor’s good faith;
• justification that the investor has no connection with sanctioned persons;
• explanation of why asset unblocking does not violate the objectives of the U.S. sanctions regime;
• preparation of the mechanism for implementing the license;
• communication with OFAC after the application is filed.

For this reason, the most promising applications are not those that are simply uploaded into the OFAC system. The most promising applications are those supported by American lawyers with practical experience in working with OFAC.

Unblocking SPB Bank Assets Through American Lawyers

DTK Partners assists investors whose assets have been blocked because of U.S. sanctions against SPB Bank, SPB Exchange, or related infrastructure.

We follow a practical approach. A simple formal filing through Russian lawyers does not give the investor a real advantage by itself. If the application is not advanced, is not supported by professional communication, and does not contain a strong legal position, it may remain without movement for an indefinite period.

Therefore, DTK Partners organizes cooperation with American OFAC lawyers who have experience interacting with OFAC and can professionally support the application before the U.S. regulator.

DTK Partners’ Cooperation With an American Law Firm

DTK Partners cooperates in this area with a leading American law firm that has experience working with OFAC, including obtaining OFAC licenses in Russian sanctions-related matters.

This is especially important because, in U.S. sanctions cases, the quality of documents is not the only decisive factor. It is also necessary to understand American regulatory practice. The request must be properly formulated. The origin of the assets must be explained. The custody chain must be disclosed. A workable unblocking mechanism must be proposed. It must also be shown that issuing the license does not contradict the objectives of the sanctions regime.

Our task is not simply to file an application. Our task is to build a real strategy for asset unblocking through OFAC with the participation of American lawyers.

Success Fee Without Advance Payments

An important advantage of this area is that our American partners are ready to represent investors whose assets are blocked on a success fee basis, without prepayment and without advance payments.

This means that the client does not bear significant initial costs for American legal services. The fee is paid only if a positive result is achieved. This approach allows the risks to be fairly shared between the client and the legal team.

For investors who have already faced a long-term blocking of assets, the success fee model may be especially important. It makes access to American lawyers more available and allows the investor to focus on the final goal: obtaining an OFAC license and achieving asset unblocking, rather than making constant advance payments.

What DTK Partners’ Support Includes

DTK Partners helps investors at all key stages of work aimed at obtaining a special OFAC license.

We can:

• analyze documents related to the blocked assets;
• determine whether the situation falls within OFAC’s competence;
• assess the prospects of filing the application;
• prepare the legal position;
• collect the evidence base;
• describe the custody chain;
• structure the request for a special OFAC license;
• organize cooperation with American OFAC lawyers;
• support communication on the matter;
• consider the mechanism for implementing the license if it is obtained.

This approach makes it possible not to limit the matter to a formal document filing, but to create a comprehensive strategy for protecting the investor’s interests.

Why SPB Bank Investors Should Act Now

Passive waiting is rarely an effective strategy in sanctions matters. The longer the assets remain blocked, the higher the risks for the investor.

During the waiting period, many things may change: the value of securities, the policy of brokers, the requirements of depositories, sanctions regulation, the availability of receiving financial institutions, and the procedure for implementing a possible license.

If an application has already been filed, this does not mean that nothing can be done. On the contrary, it makes sense to check:

• how the application was prepared;
• which documents were attached;
• whether a legal position was formulated;
• whether the custody chain was described;
• whether a specific mechanism for implementing the license was indicated;
• whether there was communication with OFAC after filing;
• whether the application can be strengthened with the involvement of American lawyers.

In many cases, a previously filed application can be reviewed, supplemented, and strengthened.

Consultation on an OFAC License and Asset Unblocking

If your assets have been blocked because of U.S. sanctions against SPB Bank, SPB Exchange, or related infrastructure, we recommend that you do not limit yourself to passive waiting.

DTK Partners is ready to conduct a preliminary analysis of your situation and propose a possible strategy for further action. We will help assess the prospects of obtaining a special OFAC license, prepare the documents, and organize cooperation with American lawyers who have experience interacting with OFAC.

Contact DTK Partners to discuss the possibility of unblocking SPB Bank assets through a special OFAC license and professional support for your application in the United States.