In a series of sanctions moves, the U.K. corrected three entries under its ISIL (Da'esh) and al-Qaida sanctions regime and added two entries to its Russia sanctions list. Added to the Russia sanctions -- in response to its invasion of Ukraine -- by the U.K.'s Office of Financial Sanctions Implementation are Eugene Tenenbaum and David Davidovich, two associates of sanctioned businessman Roman Abramovich. In the ISIL notice, OFSI amended the entry for Ashraf Al-Qizani and corrected the entries for Mehrez Ben Mahmoud Ben Sassi Al-Amdouni, Mokhtar Belmokhtar and Ramzi Mohamed Abdullah Binalshibh.
Russia announced counter sanctions on U.S. and Canadian senators in a pair of notices from the Ministry of Foreign Affairs. The restrictions on U.S. legislators apply to 398 individuals and cover a vast majority of the members of the U.S. House of Representatives. The sanctions on Canada cover 87 Canadian senators, barring them from entering Russia.
The U.K. on April 14 announced a new wave of sectoral sanctions on Russia following its invasion of Ukraine. The restrictions include a ban on the export of luxury goods to Russia, a prohibition on the import of iron and steel goods that are consigned from or originate in Russia and a ban on the direct or indirect acquisition of iron and steel products from Russia or located in Russia. As part of the luxury goods ban, the restrictions prohibit the supply or delivery of luxury goods from a third country to a place in Russia, the making of luxury goods available to a person connected with Russia and the making of luxury goods available for use in Russia.
James O’Brien was confirmed by the Senate April 6 as the State Department’s sanctions coordinator (see 2201130047) and officially began serving in the role last week, the agency said. O’Brien is the first person to head the agency’s Office of Sanctions Coordination since President Donald Trump disbanded the office in 2017. The office will “oversee work on sanctions and further strengthen cooperation with allies and partners in the use of this critical tool,” the State Department said.
The Financial Crimes Enforcement Network issued an advisory April 14 urging banks and other financial institutions to focus on catching illegal transactions related to kleptocracy and corruption. The advisory outlines various “typologies and potential indicators” of kleptocracy and other forms of foreign corruption, including bribery, embezzlement, extortion and the “misappropriation of public assets.” The advisory said banks should specifically scrutinize Russia-related transactions for “sanctions evasion” attempts. It also outlines suspicious-activity report filing requirements for transactions that banks may suspect of violating sanctions.
The Bureau of Industry and Security needs to “answer to Congress immediately” if U.S. software company Synopsys was able to illegally export semiconductor design software to blacklisted Chinese companies, Rep. Michael McCaul, R-Texas, said. McCaul -- referencing a report this week that said BIS is investigating Synopsys for potentially transferring technology to China’s HiSilicon and Semiconductor Manufacturing International Corporation (see 2204140057) -- said the agency needs to do a better job of preventing illegal exports on the front end.
Ericsson will record “extraordinary costs” of about 900 million Swedish krona ($94.3 million) from its decision to suspend its “effective business in Russia indefinitely,” CEO Borje Ekholm” said on a Q1 earnings call April 14. When Russia invaded Ukraine Feb. 24, “we realized that our business in Russia could not be sustained, and we suspended all deliveries to Russia already at that point in time,” he said. When the exemption for public telecom networks was removed from the EU’s Russia sanctions on April 10, Ericsson immediately suspended its Russia operations, he said.
The U.S. should redouble efforts to control emerging and foundational technologies, establish a new outbound investment screening regime and create a new multilateral export control forum with close allies, said Emily Kilcrease, an economic statecraft expert with the Center for a New American Security. A new multilateral regime could be challenging to stand up, Kilcrease said, but is “imperative” to prevent proliferation of sensitive technologies to adversaries, including China and Russia.
Taiwan recently issued a list of items restricted from being exported to Russia. The list, which took effect April 6, includes dual-use technologies, electronics, sensors and lasers, telecommunication goods, aerospace items and other sensitive products that require a license before they can be shipped to Russia, Taiwan’s Ministry of Economic Affairs said, according to an unofficial translation.
The State Department this week published two determinations under the Foreign Assistance Act to provide military equipment and services for Ukraine and the Philippines. The Sept. 2, 2021, determination for Ukraine authorized the drawdown of up to $60 million in defense articles and services "to provide assistance to Ukraine," and the Nov. 9, 2020, determination authorized $18 million in defense items for the Philippines "to support counterterrorism operations." The State Department said neither of the military assistance determinations could have been met under the Arms Export Control Act.