As Somali Piracy Reemerges, a 2010 Executive Order on Ransom Payments Has Renewed Importance

December 3, 2025

In recent weeks, Somali pirates have attacked and seized a number of vessels in the waters off the Somali coast. Most notably, the Hellas Aphrodite, a Malta-flagged vessel, was seized by Somali pirates on November 6, 2025 and required a rescue operation from European Union naval forces to repel the pirates. In light of this resurgence, vessel owners and operators should be mindful of longstanding US sanctions regulations that are still in effect, and that may prohibit the making of ransom payments without a specific license from the US Department of the Treasury’s Office of Foreign Assets Control (“OFAC”).

On April 12, 2010, in the wake of the attack on the M/V Maersk Alabama, by Executive Order 13536, President Barack Obama declared a national emergency concerning repeated instances of Somali piracy that disrupted shipping through the waters off the coast of Somalia. Two years later, on July 20, 2012, the President issued Executive Order 13620, which superseded and expanded upon EO 13536. Successive presidential administrations have continued the national emergency created by these EOs, and they remain in effect today.

Under these EOs, OFAC is empowered to impose blocking sanctions against designated individuals and groups, creating sanctions liability for any person who is found “to have materially assisted, sponsored, or provided financial, material, logistical or technical support for, or goods or services in support of, the activities described in” the EOs.  Under the EOs, it is prohibited to make ransom payments to any person blocked by OFAC and to anyone that may directly or indirectly “provide[] financial, material, logistical or technical support for” a sanctioned individual or group.

Due to the breadth of this prohibition, vessel owners and operators who are considering ransom payments to Somali pirates should consult with attorneys and OFAC before making any payment. In the past, OFAC has shown willingness to promptly examine the situation and provide a specific license for ransom payments in order to ensure the safe return of seized vessels and their crews.

We will continue to closely monitor developments in this space.

If you have any questions regarding the foregoing, please contact your primary attorney or a member of the Economic Sanctions and Cross-Border Regulatory Practice at Seward & Kissel LLP.