OFAC

The Office of Foreign Assets Control this week sanctioned two Russian nationals for their ties to LockBit, a Russia-based ransomware group. The designations target Ivan Gennadievich Kondratiev, a LockBit affiliate and leader of the National Hazard Society, a LockBit affiliate sub-group; and Artur Sungatov, a Lockbit ransomware group affiliate who has “actively engaged in LockBit ransomware attacks,” OFAC said.

The Office of Foreign Assets Control this week sanctioned two companies with ties to the Myanmar military along with four of their “cronies” for helping the regime fund itself. The designations were announced days after the U.S. updated its Myanmar business advisory (see 2401300010) and mark the three-year anniversary of the country’s military coup, which sparked multiple rounds of sanctions and export controls by the U.S. and its allies (see 2310310028, 2306210017, 2303240024 and 2107020003).

The U.S. and the U.K. this week announced joint sanctions against a network of people who try to kidnap or assassinate Iranian dissidents and opposition activists around the world.

The U.S., the U.K. and Australia on Jan. 23 sanctioned Russian national Aleksandr Ermakov, who played a “pivotal” role in a 2022 ransomware attack against an Australian healthcare insurance company. The Office of Foreign Assets Control said Ermakov is a “cybercriminal” who also poses a risk to U.S. healthcare firms.

Behrouz Mokhtari of McLean, Virginia, and Tehran pleaded guilty Jan. 9 to two conspiracies to violate U.S. sanctions on Iran "by engaging in business activities on behalf of Iranian entities" without getting a license from the Treasury Department's Office of Foreign Assets Control, DOJ announced Jan. 9. Mokhtari will forfeit money, property and assets obtained from the schemes, including a Campbell, California, home, and a money judgment of over $2.8 million, DOJ said. The defendant faces a maximum of five years in prison for each of the two conspiracy counts.

Electronics distribution company Broad Tech System and its president and owner, Tao Jiang of Riverside, California, pleaded guilty Jan. 11 to participating in a conspiracy to illegally ship chemicals made or distributed by a Rhode Island-based company to a Chinese firm with ties to the Chinese military, the U.S. Attorney's Office for the District of Rhode Island announced. Jiang and Broad Tech admitted to violating the Export Control Act and conspiring to commit money laundering.

The U.S. and the U.K. this week announced new sanctions against Hamas officials, people and entities helping to finance the terror group’s operations in Gaza, the Treasury Department said.

The Office of Foreign Assets Control this week sanctioned one person, two entities and three aircraft with ties to Russia, according to a Jan. 11 update to its Specially Designated Nationals List. The designations target Vladimir Vladimirovich Mikheychik, Ashuluk Firing Range, and Vladimirovka Advanced Weapons and Research Complex. OFAC also sanctioned aircraft with tail numbers RF-78757, RF-82011 and RF-86898.

The U.K.’s lead sanctions agency plans to add more employees and resources over the next year, saying that should lead to speedier decisions on license applications and more sanctions-related investigations. It also said it will soon issue penalties for Russia-related violations and wants to expand its mandatory sanctions reporting requirements.

An executive order signed by President Joe Biden last week gives the U.S. broader authority to sanction financial institutions involved in shipments to Russia, marking a “significant step forward” in holding those foreign banks accountable for helping Moscow buy a range of critical items for its military, senior administration officials said.