OFAC suspends Iran's aviation-safety general licences
The Treasury Department’s Office of Foreign Assets Control published a final rule on 10 September 2026 “indefinitely suspending three general licenses and one licensing policy issued pursuant to the Iranian Transactions and Sanctions Regulations to align with changes in the foreign policy of the United States towards Iran.”1 The stay took effect on 8 September, two days before publication.1 The regulations are at 31 CFR part 560, reissued under their present name in 2012.12
-
Every suspended authorisation concerns aviation. OFAC stays 31 CFR 560.522, 560.528 and 560.529, which “authorize, respectively, certain payments for overflights of Iranian airspace; the issuance of specific licenses for certain transactions related to aircraft safety; and bunkering and emergency repairs.”13 It also suspends Iran General License J-1, published on OFAC’s website on 15 December 2016, which “authorizes the reexportation of certain civil aircraft to Iran on temporary sojourn, as well as related transactions.”1 These are the carve-outs that allow civil aviation to function across a sanctioned airspace — the payments an airline makes to overfly, the parts and services that keep an aircraft airworthy, the fuel and repairs a vessel or aircraft needs in an emergency. As of 8 September “any such transactions are no longer authorized by OFAC.”1
-
The stated grounds are the conduct of the war and its economics. The suspension is made “[i]n response to Iran’s continued disruptions to global energy markets, attacks on partners and allies in the Middle East, reconstitution of its conventional and nuclear weapons programs, efforts to monetize the Strait of Hormuz, and continued support to terrorist proxies.”1 Three of those five track events already in the published record: the tanker strikes of September, the lapse of the Islamabad Memorandum’s negotiating window in mid-August, and the President’s remark on 19 August that “we have things that we could sanction” (see The Islamabad Memorandum’s window lapsed without a word and Five more tankers destroyed, and the ratio keeps rising).45
-
The rule was not put out for comment, and it did not have to be. OFAC states that “[b]ecause the Regulations involve a foreign affairs function,” the notice-and-comment and delayed-effective-date provisions of the Administrative Procedure Act are inapplicable, along with Executive Orders 12866, 14192 and 14219.16 That is the ordinary rule for sanctions, and it is what permits an authorisation to end two days before the public notice of its ending appears.
-
What lapsed on 8 September is backed by criminal law. Under the statement Executive Order 14294 requires, OFAC records that “[w]illful violations of the regulations set forth in this final rule may be subject to criminal penalties pursuant to 50 U.S.C. 1705,” and that “[t]he statutory authority for criminal liability requires a mens rea of willfulness as an element pursuant to 50 U.S.C. 1705(c).”178 The practical effect is narrow but sharp: a transaction that was lawful under a general licence on 7 September was, without further notice, an offence if willfully undertaken on the 8th.
Footnotes
-
Office of Foreign Assets Control, Department of the Treasury, “Iranian Transactions and Sanctions Regulations,” final rule, 31 CFR part 560, 91 FR 57511–57512, published 10 September 2026, FR Doc. 2026-18461. Quoted: the summary; the DATES section staying §§ 560.522, 560.528 and 560.529 and General License J-1 as of 8 September 2026; the Background (the 2012 reissuance and the 15 December 2016 publication of General License J-1); “Rules To Be Stayed” (the five stated grounds, the description of what each general licence authorises, and the statement that such transactions are no longer authorised); “Public Participation” (the foreign-affairs-function exemption and the inapplicability of E.O. 12866, E.O. 14192 and E.O. 14219, and of the Regulatory Flexibility Act); and the Executive Order 14294 statement on criminal liability and mens rea. https://www.federalregister.gov/documents/2026/09/10/2026-18461/iranian-transactions-and-sanctions-regulations ↩ ↩2 ↩3 ↩4 ↩5 ↩6 ↩7 ↩8 ↩9
-
The Iranian Transactions and Sanctions Regulations, 31 CFR part 560, were reissued in their entirety under that name at 77 FR 64664, 22 October 2012, having previously been the Iranian Transactions Regulations. https://www.ecfr.gov/current/title-31/subtitle-B/chapter-V/part-560 ↩
-
31 CFR §§ 560.522, 560.528 and 560.529. The descriptions given in the body are OFAC’s own, as stated in the rule; the underlying sections remain in the Code of Federal Regulations and are stayed rather than removed. https://www.ecfr.gov/current/title-31/subtitle-B/chapter-V/part-560/subpart-E ↩
-
The negotiating window in paragraph 3 of the Islamabad Memorandum expired on 16 August 2026 without a recorded extension; the President was asked on 19 August what else could be sanctioned. See The Islamabad Memorandum’s window lapsed without a word. ↩
-
US Central Command destroyed five Iranian crude oil carriers on 8 September 2026, after three on 5 September. See Five more tankers destroyed, and the ratio keeps rising. ↩
-
5 U.S.C. § 553(a)(1) excepts from the section’s rulemaking requirements any matter involving “a military or foreign affairs function of the United States.” https://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title5-section553&edition=prelim ↩
-
Executive Order 14294 of 9 May 2025, “Fighting Overcriminalization in Federal Regulations,” 90 FR 20363–20365, published 14 May 2025, FR Doc. 2025-08681. Section 5 directs that rules whose violation may constitute a criminal regulatory offence identify that fact and the authorising statute, and state a mens rea requirement for each element, drafted in consultation with the Department of Justice. The OFAC rule cites this order as “90 FR 20367”; that page is the first page of Executive Order 14295, “Increasing Efficiency at the Office of the Federal Register,” published the same day. The title, order number and date OFAC gives are correct and only the page citation is off; verified against the Federal Register API on 15 September 2026. https://www.federalregister.gov/documents/2025/05/14/2025-08681/fighting-overcriminalization-in-federal-regulations ↩
-
50 U.S.C. § 1705, the penalty provision of the International Emergency Economic Powers Act. Subsection (c) provides for criminal penalties for a person who “willfully commits, willfully attempts to commit, or willfully conspires to commit, or aids or abets in the commission of, an unlawful act described in subsection (a).” https://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title50-section1705&edition=prelim ↩