Société Générale was fined $1.34 billion for processing $5.5 billion in Cuba-related payments.
ING bank was fined $619 million for Cuba wire transfers.
European banks have been hit with 83% of all US sanctions fines.
If a foreign bank defies OFAC, the US Treasury can cut off its access to the US clearing system entirely.
For a global bank, losing the ability to clear dollar transactions would lead to its overnight collapse. All have to obey Washington’s dictats.
Then there’s the “State Sponsor of Terrorism” designation, reinstated in 2021. This label is radioactive.
Over 100 foreign banks have terminated all relations with Cuba entirely.
US laws regarding financial transactions in relation to Cuba trigger automatic “enhanced due diligence” protocols in every compliance department, no matter how small or large.
88% of global forex transactions touch the dollar.
Every dollar payment clears through New York. Touch the dollar, obey OFAC.
The US also weaponises supply chain dominance.
For most countries, foreign products can contain up to 25% US content before Washington cares.
For Cuba, the threshold is 10%.
A Swedish ventilator with US microchips cannot be sold to a Havana hospital without a Commerce Department licence.
Since 2019, Title III of Helms-Burton allows US citizens to sue foreign companies in American courts for operating on land nationalised 60 years ago.
A Spanish hotel chain can be dragged before a judge in Miami for running a resort in Varadero.
Foreign investment freezes.
Over 160 countries vote against this blockade at the UN every year. Their banks still refuse Cuba transactions, because the compliance industry runs on fear.
