The European Commission updated its Russia sanctions FAQs on "export-related restrictions for dual-use goods and advanced technologies." According to the EU Sanctions blog, the FAQs were amended to show that the restrictions bar transit via the territory of Russia of dual-use goods and technology shipped from the EU. The new FAQs also update the Correlation Table that links prohibited goods with their Combined Nomenclature (CN) commodity codes.
The U.S. District Court for the District of Connecticut ordered Estonia-based exporter By Trade OU to forfeit about $826,000 in connection with the attempted export of a dual-use export-controlled item to Russia, DOJ announced. The company, along with a Latvia-based corporation, conspired to ship a jig grinder made in Connecticut to Russia.
Microsoft will pay more than $3.3 million combined to settle alleged export control and sanctions violations largely related to its foreign subsidiaries, the Bureau of Industry and Security and the Office of Foreign Assets Control said in a pair of news releases April 6.
The U.S. this week sanctioned Genesis Market, one of the world’s “largest illicit marketplaces,” for illegally selling stolen data, including usernames and passwords. The marketplace is “believed” to be based in Russia, the Office of Foreign Assets Control said, where it operates as one of the “most prominent brokers of stolen credentials and other sensitive information,” including information from U.S. and international companies. Cybercriminals also have used Genesis Market to target the U.S. government, OFAC said.
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The Bureau of Industry and Security again renewed temporary denial orders for three Russian airlines accused of violating U.S. export controls against Russia. BIS first suspended the export privileges of Aeroflot, Azur Air and UTair in April, barring the airlines from participating in transactions with items subject to the Export Administration Regulations (see 2204070010), and renewed their denial orders for 180 days from October (see 2210040008). BIS said all three airlines continue to "act in blatant disregard for U.S. export controls" by continuing to operate aircraft subject to the EAR. The orders include a table of recent flights operated by each airline. The orders were renewed for another 180 days from March 29.
The State Department should impose “mandatory sanctions” against Iran under the Countering America’s Adversaries Through Sanctions Act in response to the country’s “significant defense transactions” with Russia, three Republicans said in a March 29 letter to Secretary of State Antony Blinken. Iran and Russia are building a “full-fledged defense partnership,” the letter said, which has led to “concerning advances in Iran’s military capabilities” and helped Russia sustain its war in Ukraine.
The Office of Foreign Assets Control this week sanctioned Slovakian national Ashot Mkrtychev for trying to facilitate arms deals between Russia and North Korea. Mkrtychev worked with North Korean officials, including as recently as this year, to “obtain” more than two dozen kinds of weapons and munitions for Russia in exchange for commercial aircraft, raw materials and other commodities, OFAC said. The agency said Mkrtychev negotiated a “mutually beneficial cooperation” agreement between North Korea and Russia “to include financial payments and barter arrangements,” and “confirmed Russia’s readiness to receive military equipment from [North Korea] with senior Russian officials.”
The U.K.'s Office of Financial Sanctions Implementation issued a new Russia-related general license authorizing certain transactions involving bond amendments and restructurings. The license lets a company, entity or institution that has issued a bond that has or may have bondholders who are sanctioned parties "effect the terms of any Bond restructuring or amendments agreed between itself and its Bondholders" through March 28, 2025. This permission only applies if no funds or economic resources are made available to a designated party as part of any such bond restructuring and any funds that a designated party would be entitled to are frozen and not made available to the designated party until they are no longer sanctioned. The license also permits a British person or entity to take any steps needed to "effect a bond restructuring," as long as the same two conditions listed previously also apply.
The EU plans to launch a new project with nine member states to root out gaps in the bloc's Russia sanctions regime and boost coordination between national authorities when imposing penalties, Bloomberg reported March 29. The project, which will deepen ties between the European Commission and member state governments, could lay the groundwork for a new EU body to coordinate sanctions implementation, the officials said. The new project, to run for two years starting around June, would be the first instance of the EU's executive wing backing member states on sanctions enforcement at this scale, the Bloomberg report said.