CMS INDUSLAW has represented Lokesh Machines Limited in securing its removal from the U.S. Department of the Treasury’s Office of Foreign Assets Control (OFAC) Specially Designated Nationals and Blocked Persons (SDN) List — a milestone widely reported as India’s first successful OFAC delisting. Through a comprehensive delisting petition challenging the designation on various grounds, CMS INDUSLAW secured the company’s removal from the SDN List on 30 June 2026. The firm co-counselled with U.S. law firm Blank Rome LLP throughout the process.
Introduction
Lokesh Machines was designated on 30 October 2024 under Executive Order 14024, OFAC’s Russia-related sanctions program, for allegedly operating in the manufacturing sector of the Russian Federation economy. The company was among 21 Indian entities, including 19 companies and 2 individuals, sanctioned by the United States in 2024 under Executive Order 14024 — part of Washington’s broader measures targeting entities alleged to have provided financial, material or technological support to Russia following its 2022 invasion of Ukraine.
The designation had significant consequences for Lokesh Machines Limited, including the blocking of assets within U.S. jurisdiction and restrictions on dealings with U.S. persons. CMS INDUSLAW worked closely with the company at every stage — conducting a detailed review of the designation, formulating the strategy, preparing the delisting petition before OFAC, and responding to OFAC’s follow-up questions — while challenging the grounds on which the designation had been made.
CMS INDUSLAW co-counselled with U.S. law firm Blank Rome LLP to represent Lokesh Machines Limited‘s interests before OFAC. Beyond the petition itself, CMS INDUSLAW supported Lokesh Machines Limited across the full spectrum of the process, including business continuity, sanctions compliance, and training, to ensure the company was equipped to navigate the implications of the designation and safeguard its operations throughout.
Legal Teams Involved
CMS INDUSLAW acted as counsel to Lokesh Machines Limited, co-counselling with Blank Rome LLP (U.S.) before OFAC.
The CMS INDUSLAW team comprised:
- Faraz Alam Sagar — Partner & Head – Dispute Resolution and White-Collar Crime
- Surya Karan Sambyal — Partner
- Aarti Abhyankar — Senior Associate
- Aditi Goyal — Associate
- Kinjal Sharma — Associate
- Urja Dhapre — Associate
- Prateek Ayyappan — Associate
- Diya Choudhary — Associate
Further details on the Blank Rome LLP team members were not disclosed.
Significance and Impact
Securing the company’s removal from the SDN List on 30 June 2026 marks India’s first successful delisting granted by OFAC. The result carries significant precedential weight for Indian companies navigating U.S. extraterritorial sanctions exposure.
Lokesh Machines Limited has been officially removed from the OFAC sanctions list, with all previously blocked assets now fully unblocked. Following this development, the company expects its global business to return to normal, including regaining access to the U.S. financial system and the ability to conduct USD transactions.
The company’s removal from the OFAC SDN List is expected to facilitate the normalisation of its international business operations and transactions with domestic MNCs. Lokesh Machines manufactures machine tools and precision-engineered components, supplying global manufacturers such as John Deere, Cummins, Volvo, Honda and Suzuki.
Faraz Alam Sagar, Partner & Head – Dispute Resolution and White-Collar Crime at CMS INDUSLAW, commented: “This delisting marks the first removal of Indian companies from OFAC’s Russia-related sanctions list since the 2024 designations. We’re pleased to have secured this outcome for our client and to see Lokesh Machines Limited’s name cleared from the SDN List. This result reinforces CMS INDUSLAW’s depth of experience and position as India’s leading firm for international sanctions advisory in India.”
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OFAC officially updated the Specially Designated Nationals and Blocked Persons List on 30 June 2026, with Lokesh Machines Limited among the entries formally removed under the Russia-EO14024 programme. The successful petition — the first of its kind for an Indian company — demonstrates that a structured, multi-jurisdictional legal strategy can achieve delisting even under one of the most consequential sanctions regimes in international trade. Lokesh Machines has stated that it will continue to work closely with its legal counsel, CMS INDUSLAW, to ensure ongoing compliance with applicable OFAC regulations and other relevant laws.
Disclaimer: This article is for informational purposes only and does not constitute legal advice. It is based on the details provided and publicly available sources.
