The Federal Register is experiencing delays publishing complex agency rules due to the COVID-19 pandemic and an “unusually” large number of documents submitted this year, said Katerina Horska, legal affairs and policy director for the Office of the Federal Register. Horska said the Federal Register typically publishes rules within three days of receiving them, but some “can take more than a month.”
The U.S. is seeking to seize more than $955,000 belonging to two China-based companies for acting as intermediates for North Korea’s purchase of telecommunications equipment from ZTE, the Department of Justice said Sept. 11. The companies -- Ryer International Trading Limited and Rensy International Trading Co., Limited -- allegedly helped North Korea illegally buy millions of dollars worth of U.S.-origin parts from ZTE between 2010 and 2016 by negotiating contracts, processing payments and receiving goods on behalf of North Korean customers. DOJ alleged Ryer and Rensy also acted as conduit for North Korean money laundering through sanctioned North Korean banks.
The Environmental Protection Agency on Sept. 16 released a final rule setting new significant new use rules (SNURs) under the Toxic Substances Control Act (TSCA) for 24 chemical substances subject to premanufacture notices (PMNs). As a result of the SNURs, persons planning to manufacture, import or process any of the chemicals for an activity designated as a significant new use by this rule are required to notify EPA at least 90 days in advance. Importers of chemicals subject to these SNURs will need to certify their compliance with the SNUR requirements, and exporters of these chemicals will now become subject to export notification requirements. The final rule takes effect Nov. 16. The SNURs cover the following chemical substances:
The Office of Foreign Assets Control sanctioned two Russian nationals involved in the cybertheft of nearly $17 million, it said in a Sept. 16 news release. The designations target Danil Potekhin and Dmitrii Karasavidi for orchestrating a phishing campaign that targeted U.S. citizens and businesses through fake web domains that mimicked “legitimate virtual currency exchanges,” OFAC alleged. When people accessed the domains and entered their personal information, Potekhin and Karasavidi allegedly stole that information and accessed real virtual currency accounts. OFAC said Potekhin and Karasavidi are also the subjects of a Justice Department indictment.
The U.S. needs a clearer approach to its export control regime and should coordinate more closely with allies to counter China’s technological rise, Sen. Mark Warner, D-Va., said, adding that the U.S. needs to better communicate to industry about the risks of doing business with China and its government-sponsored human rights abuses.
The State Department’s Directorate of Defense Trade Controls released on Sept. 15 its notifications to Congress of recently proposed export licenses. The 19 notifications, ranging from January through May, feature arms sales to numerous countries including the United Kingdom, Israel, Australia, Canada and Italy.
The United Kingdom’s Office of Financial Sanctions Implementation amended 69 entries under its Ukraine-related sanctions, a Sept. 14 notice said. It revised identifying information for the entries, which are still subject to an asset freeze.
The Office of Foreign Assets Control on Sept. 15 sanctioned a Chinese state-owned entity, the former first lady of Gambia and a United Kingdom-based company for corruption and human rights abuses under the Global Magnitsky Human Rights Accountability Act.
Export Compliance Daily is providing readers with the top stories for Sept. 8-11 in case you missed them. You can find any article by searching on the title or by clicking on the hyperlinked reference number.
The Bureau of Industry and Security and the Census Bureau recently completed rules related to export controls and Electronic Export Information filing requirements, but they have not yet been published due to delays at the Federal Register office, officials said. A final rule from BIS will implement export control decisions stemming from the 2019 Wassenaar Arrangement plenary, including new restrictions on emerging technologies (see 2008100013). An advance notice of proposed rulemaking from Census will seek comments on removing certain EEI filing requirements for shipments to Puerto Rico and the U.S. Virgin Islands (see 2008110017 and 2006030043).