The US Government REQUIRES that landlords, property managers and brokers check the Specially Designated Nationals (SDN) list to be sure that they are not entering into a business relationship with those identified as being involved with money laundering, drug trafficking, terrorism or terrorist financing.

 

Violations are subject to criminal penalties up to $10,000,000 (yes that is the correct amount of zeros), imprisonment of up to 30 years and civil penalties up to $1,000,000.

 

If you own rental property or are working with an owner for tenant procurement, you need to be aware of these requirements.

 

Solid Source Property Management has been in compliance of this since the law was passed. We have protected our owners against these violations, but found that a lot of landlords didn’t even know about the list nor the fines.