A senior U.S. Treasury Department official said the agency has made progress in addressing criticism that its sanctions are ineffective and difficult to comply with, pointing to recent guidance issued by Treasury and the increase in U.S. sanctions coordinated with close U.S. allies.
The Bureau of Industry and Security has reviewed more than 1,250 suspicious activity reports (SARs) submitted to the government as part of an effort with the Treasury Department to collect more tips from industry about possible Russia-related sanctions or export control violations, said Matthew Axelrod, the top BIS export enforcement official.
The U.K. fined property management company Integral Concierge Services Limited 15,000 British pounds, or about $20,000, for helping a client designated under the U.K.’s Russia sanctions regime manage a residential property. The company was accused of being “unaware” of its sanctions compliance obligations and making “no attempt to educate itself on its legal obligations” after its client was sanctioned.
The Bureau of Industry and Security on Sept. 24 suspended the export privileges of 11 people after they were convicted of export-related offenses, including illegal shipments involving oil to China, industrial equipment to Russia and the smuggling of guns and ammunition. The suspensions took effect from the date of their convictions.
The Office of Foreign Assets Control sanctioned Russian national Sergey Ivanov and virtual currency exchange Cryptex, which is operated by Ivanov. The move was announced concurrently with enforcement action from various U.S. and international enforcement agencies, including an indictment unsealed against Ivanov and fellow Russian national Timur Shakhmametov.
The U.K. added two entities to the Russia sanctions regime on Sept. 26. The Office of Financial Sanctions Implementation sanctioned Ocean Speedstar Solutions OPC Pvt Ltd and White Fox Ship Management FZCO for operating in the Russian energy sector, a "sector of strategic significance to the Government of Russia."
Switzerland on Sept. 23 amended the listings of six people and delisted eight others under its Russia sanctions regime. The updated or deleted listings include Russian corporate executives, business people, government officials and others. The country notably delisted former Formula One driver Nikita Mazepin, who successfully challenged his sanctions designation at the EU General Court (see 2403210019).
LONDON -- The U.K. government is pouring more resources into enforcement of its sanctions and export controls, with a particular focus on closing loopholes that may be allowing Russia to receive restricted business services or continuing to buy critical items for its military, a senior U.K. trade official said this week.
The Group of 7 nations and the EU issued a first-of-its-kind joint guidance, which aims to help companies prevent Russia-related sanctions and export control evasion. The guidance includes a list of red flags that may indicate a company is trying to evade the measures and a set of best practices for companies to follow.
Members of the European Parliament approved a resolution last week calling on the EU to expand sanctions against Russia, Belarus, and non-EU countries and entities providing Russia with military and dual-use technologies.