The U.K. published a General License Aug. 22 under its Russia sanctions regime permitting crown servants and contractors, and their family members or visiting family members, to "carry out activities in their personal capacity in Russia which would otherwise be prohibited," under the Russian restrictions. Where visiting family members -- the spouse, civil partner, parent, sibling or child of a crown servant or contractor -- are concerned, the license extends only to activities that stem from their being in Russia to visit the household of a crown servant or contractor. The license took effect Aug. 19.
The Office of Foreign Assets Control on Aug. 19 issued one new Russia-related general license, updated an existing Russia-related general license and deleted a range of entries from its Specially Designated Nationals List.
The Netherlands extradited an alleged Russia money launderer and cybercriminal to the U.S. to face charges, DOJ said this week. Denis Mihaqlovic Dubnikov has worked with others to launder the proceeds of ransomware attacks on people and entities in the U.S. and abroad, the agency said. Dubnikov laundered more than $400,000 in ransomware proceeds in July 2019, DOJ said, and faces a maximum 20-year prison sentence. The Treasury Department has issued guidance on the sanctions risks of facilitating ransomware payments (see 2010010018). The FBI has urged the agency to clarify the guidance (see 2207210058), and experts have said better reporting requirements will lead to more efficient sanctions (see 2206070027).
The mass exodus of western companies from Russia caused by sanctions are “catastrophically crippling the Russian economy” and have “irrevocably” damaged the country’s position as a global commodity exporter, the Yale Chief Executive Leadership Institute said in a recent report. The report also said Russia’s imports have “largely collapsed” as the country faces challenges procuring “crucial inputs, parts, and technology from hesitant trade partners,” which has led to broad domestic supply shortages. The country’s production also has “come to a complete standstill with no capacity to replace lost businesses, products and talent,” the report said. “Looking ahead, there is no path out of economic oblivion for Russia as long as the allied countries remain unified in maintaining and increasing sanctions pressure against Russia.”
Canada has frozen more than $120 million worth of assets and blocked more than $290 million worth of transactions related to Russia since Moscow’s invasion of Ukraine in February, the country said this week. Canada said the assets were either owned or controlled by a person designated under its Russia sanctions. The country said it “continues to receive new information” about new assets or transactions that could be subject to sanctions.
The Bureau of Industry and Security this week issued a new set of frequently asked questions covering the Entity List, Russia-related export controls and Russia-related sanctions evasion.
China and Russia this month held a meeting on economic and trade cooperation, at which the two sides discussed “developing bilateral trade,” according to an unofficial translation of a Chinese Ministry of Commerce notice. China-Russia trade has “maintained a sound growth” since the beginning of the year, the notice said, adding that the two countries should continue to “consolidate trade of key goods, strengthen economic cooperation and trade between small and medium-sized enterprises and local regions,” and “deepen trade and investment facilitation.” The meeting comes as much of the Western world, including the U.S. and the European Union, imposes sanctions and other trade restrictions against Russia for its invasion of Ukraine.
The U.K.’s Office of Financial Sanctions Implementation this week issued a new general license to allow certain transactions related to energy use in Mongolia. The license will allow certain payments to certain sanctioned banks -- including the Credit Bank of Moscow, Gazprombank, Sberbank and Rosbank -- or their subsidiaries “for the purpose of making energy available” in Mongolia. The license took effect Aug. 15 and will expire Aug. 14, 2023.
The Office of Foreign Assets Control published in the Federal Register a group of previously issued general licenses, including one set of licenses covering sanctions against Russia and two sets of licenses related to Venezuela. The full text of each license appears in the respective notice.
The EU needs to better diversify its trading partners and reform its anti-coercion instrument to protect itself from Chinese sanctions, Hinrich Foundation researchers said in a report this week. The EU also should establish a new multilateral economic security office to study and better respond to sanctions and trade restrictions imposed by third countries, the report said.