Sanction Check
Sanction check for HKFPS outbound payment transaction is done on payment activation date (current dated).
System verifies whether sanction check is applicable in Network Preferences, for outbound transaction type and initiates sanction check validation. Sanction check reference number is generated by system.
Out queue name for sending the sanction check relevant transaction details and In queue name for the response is fetched from 'Sanction Check System' maintenance.
Sanction Check system provides a response for the request. External system sanction status can be mapped to a system sanction status. This maintenance is available as part of Sanction Check Maintenance.
- Approved: Sanction check is approved by the external system
- Interim: Interim status or approval with override is received from external system
- Rejected.:This indicates that the contract failed sanction check
If the sanction check response status for a payment transaction is 'Approved', then further processing continues.
If the sanction check response status is 'Interim' or 'Rejected' then transaction is rejected with proper error code.
The seizure functionality of parking the funds to Seizure GL applies if a transaction is rejected and “Seize on Reject” flag is enabled at Sanctions Check System maintenance.
During seizure processing, the customer account (for outbound)/Nostro or Clearing GL (for incoming) is debited and Compliance Suspense GL is credited. Transaction Charges are not computed. Dispatch/Message generation is skipped for outbound transactions. Transaction status is marked as 'Cancelled' and 'SC Seizure' flag at transaction level is marked as 'Yes'.
Parent topic: Outbound Credit Transfer Processing