Sanctions and Export Control
The Customs and Immigration Division is the competent authority for sanctions in the Isle of Man. The Division:
- Implements United Nations and United Kingdom sanctions legislation
- Publishes sanctions designation updates and guidance
- Provides outreach to promote compliance and prevent breaches of sanctions law
- Processes applications for, and issues, sanctions licences
- Works in partnership with other government agencies to monitor compliance with sanctions legislation
- Enforces sanctions law in the Isle of Man in conjunction with the Isle of Man Constabulary
Subscribing to receive updates
To receive regular updates about sanctions, including updates to the UK Sanctions List, you can subscribe to the RSS feed for sanctions news releases by copying and pasting this URL: https://gov.im/categories/tax-vat-and-your-money/sanctions-and-export-control/news/RssCategorisedNews into your RSS feed reader or Microsoft Outlook RSS feeds folder.
You can also view our guidance on how to use RSS Feeds.
Export and Trade Controls
Notices and guidance relating to export and trade controls can be found on the below page.
Legislation
Sanctions legislation implemented in the Island can be found on the below page.
Licences
Information on specific and general licences and how to apply for one can be found on the below page.
Sanctions relating to Proliferation Financing
Notices and guidance on sanctions relating to proliferation financing, the risks and what you can do to detect it and prevent it can be found on the below page.
Sanctions relating to Terrorism and Terrorist Financing
Notices and guidance on sanctions relating to terrorism and terrorist financing, the risks and what you can do to detect it and prevent it can be found on the below page.
For further information
Contact the Sanctions Team on:
Telephone: +44 1624 648109
Email: sanctions@gov.im
Please note: We are unable to provide legal advice. You may need to seek independent legal advice.
What are sanctions
Sanctions are prohibitions and restrictions on trade and services, which may be put in place by the United Nations ('UN') and at a national level by countries, acting alone or together with others, with the aim of maintaining or restoring international peace and security. They generally target specific individuals or entities, or particular sectors, industries or interests. They may be aimed at people in a particular country or territory, or some organisation or element within them. Sanctions may also impose restrictions on goods and services supplied to or from a country or territory. There are also sanctions to target those persons and organisations involved in terrorism, including Al-Qaida and ISIL.
Sanctions are generally imposed to:
- Coerce a regime, or individuals within a regime, into changing their behaviour (or aspects of it) by increasing the cost on them to such an extent that they decide to cease the offending behaviour
- Constrain a person or group of persons by denying them access to key resources needed to continue their offending behaviour, including the financing of terrorism or nuclear proliferation
- Signal disapproval, stigmatising and potentially isolating a regime or individual, or as a way of sending broader political messages nationally or internationally
- Protect the value of assets that have been misappropriated from a country until these assets can be repatriated
What is a sanctions regime
In response to a situation of international concern, the UN Security Council, or an individual country or group of countries, may impose what is referred to as a sanctions 'regime'. Each regime is usually described by reference to a country or thematic group. Changes are regularly made to sanctions regimes. The Isle of Man imposes the following sanctions regimes:
- UN sanctions (made by UN Security Council Resolutions)
- UK sanctions (made by Regulations under the Sanctions and Anti-Money Laundering Act 2018)
- Designations relating to terrorism (made under the Terrorism and Other Crime (Financial Restrictions) Act 2014)
It is the policy of the Isle of Man Government to maintain the implementation of international sanctions measures in the Isle of Man in line with such measures as have effect in the United Kingdom from time to time. Financial, trade, transport and immigration sanctions are implemented in the United Kingdom by Regulations under the Sanctions and Anti-Money Laundering Act 2018. The Isle of Man, through the United Kingdom’s membership of the United Nations, is also obliged to implement sanctions measures imposed by UN Security Council resolutions, and in particular in relation to the prevention and suppression of terrorist financing and proliferation financing.
What are the different types of sanctions
There are a range of different types of sanctions measures that can be imposed against a country or group. These include:
Financial
- Targeted asset freeze
- Restrictions on investment and financial services
Trade
- Arms embargoes
- Import/export restrictions on goods and technology
- Restrictions on provision or procurement of services relating to goods and technology
- Restrictions on the provision or procurement of certain other non-financial services
Transport
- Restrictions on ship and aircraft movements
- Restrictions on ownership or registration of ships and aircraft
Immigration
- Travel bans
Do I need to comply with sanctions
Sanctions apply more broadly than simply to the persons subject to them. The following outlines where sanctions apply and who needs to comply with them:
- Sanctions apply within the territory of the Isle of Man and to all Island persons (i.e. individuals normally resident in the Island and legal entities established in the Island), wherever they are in the world
- All individuals and legal entities who are within or undertake activities within the Island’s territory must comply with the sanctions that are in force. For example, this includes corporate service providers, banks, the insurance sector etc
- All Island persons (including corporate branches), must also comply with the sanctions that are in force, irrespective of where their activities take place
It is prohibited to intentionally participate in any activities if you know that the object or effect of them is to circumvent the sanctions imposed or to enable or facilitate the contravention of those prohibitions. If you are unclear about any aspects of sanctions law, in particular about whether action you are considering taking could contravene the law, you are advised to seek independent legal advice.
How do I find out who is subject to sanctions
The UK Sanctions List has effect in the Island. This list is updated by the UK Government from time to time and can be found in:
The UK Sanctions List includes all persons and entities subject to United Nations sanctions.
The UK Sanctions List includes information on:
- Names and aliases
- Date of Birth
- Nationality
- Passport or other identification numbers
- Address
Sign up for updates
We recommend you subscribe to receive updates on changes to the UN and UK Sanctions Lists.
You can subscribe to the RSS feed for Sanctions and Export Control news releases by copying and pasting this URL: https://gov.im/categories/tax-vat-and-your-money/sanctions-and-export-control/news/RssCategorisedNews into your RSS feed reader or Microsoft Outlook RSS feeds folder. You can also view our guidance on how to use RSS Feeds.
You may wish to subscribe to the FCDO mailing list for updates from the United Kingdom.
The United Nations Security Council offer a mailing list subscription. Send your request to subscribe to their sanctions lists to sc-sanctionslists@un.org.
You may be impacted by other jurisdictions sanctions regimes – you should check what regimes are applicable to you. If you are uncertain, you should seek independent legal advice.
What do I need to do
If you suspect a person or entity is a match to a person or entity included in the UK Sanctions List, and you hold or otherwise deal with funds or economic resources of that person:
- You must freeze the assets immediately
- You must review the information you hold for that person against the UK Sanctions List to ensure you do not have a false positive identification
- Do not deal with those assets or make them available to, or for the benefit of the designated person unless:
- You have a legal exemption
- You have a licence
- You must report the frozen assets to the FIU
If you have a suspicion or knowledge that there has been a breach of sanctions law, or any attempted transactions that you have blocked, report your suspicions to the FIU.
If you are a relevant firm, you must have appropriate AML/CFT/CPF policies, procedures and controls in place to mitigate the risk of breaching sanctions law.
You must have appropriate procedures in place to be able to:
- Determine if a customer is included on the UK Sanctions List
- Know how to freeze an account if you have a sanctions match
- Know how to report frozen assets or a suspicion to the Financial Intelligence Unit ('FIU')
- Know what to do if a person or entity is removed from the UK Sanctions List ('delisting')
Note: determining if a customer is on the UK Sanctions List includes whether any corporate entity is owned or controlled, directly or indirectly, by a person on the UK Sanctions List.
You should also ensure that you and your employees have appropriate training and keep this up to date. Further guidance on sanctions compliance can be found in:
Further guidance on false positives and delistings and what to do can be found in the Financial Sanctions General Guidance:
Reporting requirements
The financial sanctions regimes have two reporting components to them. The first is a general obligation that applies to everyone. The second is a more targeted obligation that applies to specified businesses and professions.
General reporting requirement
There is a requirement for natural and legal persons, entities and bodies to supply the Financial Intelligence Unit ('FIU') as soon as practicable with any information that facilitates compliance with sanctions legislation.
This requirement applies to natural and legal persons, entities and bodies in the Isle of Man or under Isle of Man jurisdiction and not just to credit or financial institutions or to individuals working for them. If you are unsure of your reporting obligations, you should seek independent legal advice.
Relevant Firm reporting requirements
‘relevant firm’ means:
(a) a business in the regulated sector within the meaning of Schedule 4 to the Proceeds of Crime Act 2008 (of Tynwald) (see in particular paragraph 2 of that Schedule)
(b) a person engaged in the business of making, supplying, selling (including selling by auction) or exchanging articles made from gold, silver, platinum, palladium, precious stones or pearls
(c) for the purposes of paragraph (a), the definition of "estate agent" in that Act is to be read as if references to the sale of proposed sale of land in section 15 of the Estate Agents Act 1975 included references to the sale or proposed sale of land outside the Isle of Man
If you are a relevant institution or relevant business or profession you must report to the FIU as soon as practicable if you know or have reasonable cause to suspect that a person:
- Is a designated person
- Has committed an offence under sanctions legislation
You are required to report this information, or other matter on which your knowledge or suspicion is based, if it came to you in the course of carrying on your business.
How do I make a report
Many businesses on the Island in the regulated sector will already be familiar with the FIU’s online reporting system THEMIS. Those registered to use THEMIS should make their reports via this online system.
If you are not registered on Themis, please contact the FIU in the first instance.
Reporting frozen assets
Include in your report:
- Value of the funds or economic resources
- Details of any accounts held, e.g. account numbers, policy references etc
- Where funds or economic resources are located
- Ownership and control structures if applicable
Reporting a suspicion or knowledge of a sanctions breach
Include in your report:
- The information or other matter on which the knowledge or suspicion is based
- Any information you hold about the person or designated person by which they can be identified
Financial Intelligence Unit contact details
Telepone: +44 1624 686000
Email: fiu@gov.im
Website: www.fiu.im/
Note: The FIU does not take reports of crime - please report the matter to your local Police station or contact the Economic Crime Unit.
Privacy Notice
The Treasury collects information about you in order to administer taxation and carry out other functions for which it is responsible (e.g. National Insurance, customs and excise duties, property rates, social security benefits, state pensions and legal aid etc.), and for the detection and prevention of crime.
Whilst that information will primarily be provided by you, where the law allows we may also get information about you from other organisations, or give information about you to them. This may be to check the accuracy of the information provided, prevent or detect crime or protect public funds in other ways. These organisations may include other government departments, the police and other agencies.
To find out more about how we collect and use personal information, contact any of our offices or visit our website.
