OFAC Screening Through Claude: Sanctions Compliance Automation

What is OFAC Screening?

The Office of Foreign Assets Control (OFAC), part of the US Treasury, publishes the Specially Designated Nationals (SDN) list — a list of individuals, companies, and countries subject to US economic and trade sanctions. US persons (and in many cases their foreign subsidiaries) are prohibited from transacting with anyone on the SDN list.

OFAC screening is required across financial services, fintech, law, real estate, and any business that transacts internationally:

• Banks must screen every customer, payment counterparty, and beneficiary
• Fintechs must screen users at onboarding and on an ongoing basis
• Law firms must screen new clients under anti-money laundering (AML) rules
• M&A teams screen acquisition targets and their principals
• Real estate professionals screen buyers in cash transactions

Setting Up OFAC Screening in Claude

Add the compliance server to your Claude Desktop config:

{
  "mcpServers": {
    "claudefinlab-compliance": {
      "url": "https://claudefinancelab.com/compliance/sse",
      "headers": { "Authorization": "Bearer YOUR_API_KEY" }
    }
  }
}

See the Claude Desktop setup guide for config file locations and restart instructions.

Screening a Single Name

Once the server is connected, ask Claude directly:

• "Screen the name 'Viktor Anatolyevich Zubkov' against OFAC SDN list."
• "Is 'Mahan Air' on any US sanctions list?"
• "Check if 'Global Trade Corporation LLC' matches any OFAC SDN entries."

The tool returns: match status (clear / potential match / confirmed match), match score, matching list entries if any, and the SDN program the match falls under (e.g., Iran, Russia, North Korea, narcotics).

Batch Screening

You can screen multiple names in a single prompt:

• "Screen all of these names against OFAC SDN: Ahmed Al-Rashid, Sunrise Trading Ltd, Beijing Capital Group, Maria Santos da Costa."

Claude calls the tool for each name and returns a consolidated result table.

Country Sanctions Checks

OFAC also maintains comprehensive country-level sanctions programs. Ask Claude:

• "Is Iran subject to comprehensive OFAC sanctions?"
• "What transactions are currently permitted with Cuba under OFAC regulations?"
• "Which countries are subject to comprehensive US sanctions as of today?"

Combining with Vendor and Accounting Data

The most powerful use case: screen vendor payments during your AP close cycle. Add both the accounting and compliance servers:

{
  "mcpServers": {
    "claudefinlab-compliance": {
      "url": "https://claudefinancelab.com/compliance/sse",
      "headers": { "Authorization": "Bearer YOUR_API_KEY" }
    },
    "claudefinlab-accounting": {
      "url": "https://claudefinancelab.com/accounting/sse",
      "headers": { "Authorization": "Bearer YOUR_API_KEY" }
    }
  }
}

Then: "Here is our AP vendor list: [paste names]. Screen all vendors against OFAC SDN and flag any that are based in sanctioned countries. Generate a compliance summary report."

Understanding the Sanctions Lists

List	Who it covers
SDN (Specially Designated Nationals)	Individuals and entities subject to asset freezes and trade prohibitions
CAPTA (Correspondent Account or Payable-Through Account)	Foreign financial institutions with restricted US correspondent accounts
Consolidated Sanctions List	All OFAC-administered sanctions programs combined
Non-SDN Hamas / PIJ	Hamas and Palestinian Islamic Jihad members not on main SDN list
Non-SDN Palestinian Legislative Council	Palestinian Legislative Council members

Important Disclaimer

ClaudeFinLab's OFAC screening tool is a research aid for compliance professionals. It should not be used as the sole basis for compliance decisions in regulated entities. Always verify results against the official OFAC SDN list at sanctionssearch.ofac.treas.gov and consult legal counsel for compliance program requirements.

Related Skills

• OFAC SDN Sanctions Screener — individual and batch name screening
• Vendor Fraud Detection — AP fraud patterns alongside sanctions screening
• SOX Audit Trail Generator — document your compliance controls