David Meyer
@superglaze.eurosky.social
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Technology journalist and host of Tech Gets Real, singer and guitarist in The Board. Desperately trying to focus on nice things. However… Homepage: dmeyer.eu / TGR: www.youtube.com/@TechGetsReal / The Board: theboardmusic.com
![Judgment of the Court in Case C-81/24 | [Jenec] 1
Banking services: inclusion on a United States sanctions list is not
sufficient, on its own, for a refusal to open an account
Such a refusal is possible only following an individual assessment, carried out by the bank, of the risk of money
laundering and terrorist financing
In 2022, a Slovenian bank refused to open a payment account with basic features 2
for a consumer on account of his
inclusion on a sanctions list of the US Office of Foreign Assets Control (OFAC). 3 The Bank, in so doing, intended to
fulfil the obligations laid down by the Slovenian legislation on the prevention of money laundering and terrorist
financing.
However, that consumer has never been convicted of the criminal offence giving rise to his inclusion on the OFAC
list. He is likewise not subject to any sanction imposed by the United Nations, the European Union or Slovenia. He
therefore brought an action before the Slovenian courts to compel the bank to open such an account for him.
The Slovenian court made a reference to the Court of Justice. It wishes to know, inter alia, whether the bank’s refusal
was justified under EU law. 4
In response, the Court states, first of all, that any consumer residing legally in the European Union has the right
to open and use a payment account with basic features. However, that right is subject to compliance with
the rules relating to the prevention of money laundering and the countering of terrorism.
The mere inclusion of a customer’s name on the OFAC list, or on any other list of that type drawn up by a third
country, does not automatically prohibit a bank from establishing a business relationship with that
customer. That inclusion may nevertheless constitute one of the relevant factors which the bank is required to take
into account during an individual assessment of the risk of money laundering and terrorist financing.
Even though the limited uses of a payment account with basic features reduce that risk, i…](https://cdn.bsky.app/img/feed_thumbnail/plain/did:plc:53xy3x3zo33lg6ukj2xuefye/bafkreidhbzgp4sofplyaodf5hnfeb7i7rubbmjpw6o3fj6rbcillruflbm)
