Sanctions List Screening: What Companies Need to Know

Sanctions list screening is not optional for many companies — it is a legal requirement. Anyone who maintains business relationships with sanctioned individuals or organizations risks substantial fines, criminal penalties, and major reputational damage.

But which lists matter? Who needs to check them? And how can you make the process efficient?

What are sanctions lists?

Sanctions lists are public registers of individuals, companies, and organizations against which economic restrictions have been imposed. The most important lists for European companies:

• EU Consolidated List: The central sanctions list of the European Union — the basis for all EU member states

• OFAC SDN List (USA): Also relevant for European companies if they conduct dollar transactions or have a U.S. connection

• UN Security Council: International sanctions with worldwide validity

• SECO (Switzerland): Swiss sanctions list, relevant for companies with a connection to Switzerland

Who needs to check sanctions lists?

The short answer: Every company that maintains business relationships. The requirements are particularly strict for:

• Banks and financial institutions (GwG, MaRisk)

• Insurance companies (IDD)

• Exporting companies (Foreign Trade Act)

• Companies with international business

But SMEs are not exempt either. The Money Laundering Act (GwG) obliges a wide range of sectors to exercise due diligence.

One-time checks are not enough

A common mistake: companies check once when the contract is signed and never again. Sanctions lists are updated daily. A business partner who is harmless today may be on a list tomorrow.

The solution: ongoing monitoring. Automated systems compare your business partners, employees, and customers daily against all relevant lists and notify you of matches.

How Indicium helps

Indicium offers automated sanctions list screening as part of the background check process:

• Matching against 50+ international lists in real time

• Daily monitoring — not just a one-time check

• PEP screening included (Politically Exposed Persons)

• Complete audit trail for auditors and regulators

The result: you meet your legal obligations without manual effort — and are audit-ready at all times.

Read more — related articles

• Sanctions lists EU UN OFAC

• PEP screening: Politically exposed persons

• PEP screening under the GwG

• BaFin Fit-and-Proper 2026

• Fit-and-Proper KWG § 25c