Screening runs at onboarding, on every list update, and on transactions. Good screening uses fuzzy name matching, handles transliteration, and covers ownership and control, not just the named customer. Matches are reviewed and either cleared as false positives or escalated, and true matches lead to blocking or rejecting according to the applicable regime.
Example
A payment to 'Mohammed Al-Hassan Trading LLC' triggers a possible match to a listed person; the analyst checks date of birth, address and ownership before clearing or escalating.
Where it appears in the exams
This topic is relevant for CGSS, CAMS, CFCS.
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Sanctions screening basics for the CGSS exam
Related terms
- SDN (Specially Designated Nationals) list: The SDN list is OFAC's list of individuals, companies and vessels whose assets are blocked and with whom US persons are generally prohibited from dealing.
- Know your customer (KYC): Know your customer is the process of verifying who a customer is and understanding their business and risk. In practice it is used as a near-synonym for customer due diligence.
- Politically exposed person (PEP): A politically exposed person is someone who holds, or has held, a prominent public function, such as a head of state, minister, senior judge, senior military officer or executive of a state-owned company.
Source: OFAC, EU, UN and UK OFSI sanctions guidance. Independent explanation for study purposes, not legal advice.