On 22nd September 2016, the United States Government, Department of Treasury’s Office of Foreign Assets Control designated PacNet Services, approximately 33 group companies and subsidiaries, and 12 individuals as a “Transnational Criminal Organization” and added their names to its list of Specially Designated Nationals. As a result, it was impossible to continue business and the Group commenced an orderly shut-down of all its business activities.
The designations were based on a non-judicial allegation that PacNet conspired in fraudulent activities of “Direct Mail” marketers active in the United States and elsewhere. PacNet and its officers vigorously deny the accusation and have presented factual evidence to OFAC that the action was unjust and undeserved. No accusations whatsoever were made against Chexx Inc or Counting House.
Over the following 13 months the Office of Foreign Assets control removed the designations of all 12 individuals and all entities.