Sanctions Goal Wagner’s International Help Community, Russia’s Navy Advanced, Putin Cronies
WASHINGTON — At this time, the U.S. Division of the Treasury’s Workplace of Overseas Belongings Management (OFAC) is taking extra actions to degrade the Russian Federation’s capability to wage warfare towards Ukraine by sanctioning eight people and 16 entities, and 4 plane. At this time’s motion, concurrent with extra sanctions actions by the Division of State, targets the infrastructure that helps battlefield operations in Ukraine, together with producers of Russia’s weapons and people administering Russian-occupied areas of Ukraine. Notably, at present’s actions embody the designation of individuals that assist Russian defense-related entities.
“As sanctions and export controls on Russia from our worldwide coalition proceed to chew, the Kremlin is desperately looking for arms and assist – together with by the brutal Wagner Group – to proceed its unjust warfare towards Ukraine,” mentioned Secretary of the Treasury Janet L. Yellen. “At this time’s expanded sanctions on Wagner, in addition to new sanctions on their associates and different corporations enabling the Russian navy advanced, will additional impede Putin’s potential to arm and equip his warfare machine.”
DESIGNATING THE WAGNER GROUP AS A SIGNIFICANT TRANSATIONAL CRIMINAL ORGANIZATION
PMC Wagner (Wagner Group) is a Russian personal navy firm led by Yevgeniy Prigozhin, a Putin crony and the goal of a number of U.S. sanctions. Wagner Group has been concerned in Kremlin-backed fight operations world wide in assist of Putin’s warfare on Ukraine. As Russia’s navy has struggled on the battlefield, Putin has resorted to counting on the Wagner Group to proceed his warfare of alternative. The Wagner Group has additionally meddled and destabilized nations in Africa, committing widespread human rights abuses and extorting pure assets from their folks. At this time, the Wagner Group is being redesignated pursuant to Government Order (E.O.) 13581, as amended by E.O. 13863, for being a overseas individual that constitutes a major transnational felony group. Wagner personnel have engaged in an ongoing sample of significant felony exercise, together with mass executions, rape, youngster abductions, and bodily abuse within the Central African Republic (CAR) and Mali.
In mild of the transcontinental risk posed by the Wagner Group, Treasury is concurrently redesignating the Wagner Group pursuant to E.O. 13667 for being chargeable for or complicit in, or having engaged in, the concentrating on of girls, kids, or any civilians by the fee of acts of violence, or abduction, compelled displacement, or assaults on colleges, hospitals, non secular websites, or areas the place civilians are in search of refuge, or by conduct that might represent a severe abuse or violation of human rights or a violation of worldwide humanitarian legislation in relation to the CAR. These actions additionally advance the implementation of President Biden’s “Memorandum on Selling Accountability for Battle-Associated Sexual Violence (CRSV),” which directs federal companies to leverage current sanctions authorities to carry perpetrators of CRSV accountable and fight rampant impunity for these egregious acts.
On June 20, 2017, OFAC designated the Wagner Group pursuant to E.O. 13660 for being chargeable for or complicit in, or having engaged in, straight or not directly, actions or insurance policies that threaten the peace, safety, stability, sovereignty, or territorial integrity of Ukraine, and on November 15, 2022, the Division of State designated the Wagner Group pursuant to E.O. 14024 for working within the protection and associated materiel sector of the Russian Federation financial system. The Wagner Group has additionally been sanctioned by Australia, Canada, Japan, the UK, and the European Union.
DISRUPTING THE WAGNER GROUP’S GLOBAL NETWORK
Treasury can be designating quite a few entities and people on a number of continents that assist the Wagner Group’s navy operations.
Joint Inventory Firm Terra Tech (Terra Tech) is a Russia-based know-how agency that provides house imagery acquired by commercially lively satellites, in addition to aerial photographs acquired by unmanned programs. Changsha Tianyi Area Science and Know-how Analysis Institute Co. LTD (Spacety China) is a Individuals’s Republic of China (PRC)-based entity that has offered Terra Tech artificial aperture radar satellite tv for pc imagery orders over areas in Ukraine. These photographs had been gathered so as to allow Wagner fight operations in Ukraine. As well as, OFAC at present took motion towards Spacety Luxembourg S.A. (Spacety Luxembourg), Spacety China’s Luxembourg-based subsidiary. Joint Inventory Firm Analysis and Manufacturing Concern BARL (AO BARL) is a Russian house firm supporting Russia’s navy actions in Ukraine. AO BARL has shared overseas high-resolution satellite tv for pc imagery with Russia’s navy.
Terra Tech and AO BARL are being designated pursuant to E.O. 14024 for working or having operated within the know-how sector of the Russian Federation financial system. Spacety China is being designated pursuant to E.O. 14024 for having materially assisted, sponsored, or offered monetary, materials, or technological assist for, or items or providers to or in assist of Terra Tech. Spacety Luxembourg is being designated pursuant to E.O. 14024 for being owned or managed by, or for having acted or presupposed to act for or on behalf of, straight or not directly, Spacety China.
As part of this motion, Treasury can be designating individuals within the CAR and the United Arab Emirates (UAE) which might be linked to the Wagner Group’s operations in CAR. The Division of State is amplifying this motion by concurrently designating two individuals pursuant to E.O. 14024. Wagner Group personnel first deployed to CAR in January 2018 purportedly to “practice” CAR navy and safety forces. Since then, the Wagner Group has used entities it controls – Officer’s Union for Worldwide Safety and Sewa Safety Providers – to supply a veneer of legitimacy for the presence of Wagner Group personnel in CAR, working underneath the guise of “instructors.” Wagner Group personnel have perpetrated quite a few cases of human rights abuses towards civilians within the CAR, together with mass abstract executions, rape, arbitrary detention, torture, and displacement of civilians. Furthermore, the Wagner Group controls quite a few gold and diamond mines in CAR, whereas raiding and plundering others. The Wagner Group has denied entry to CAR authorities officers in search of to examine mining operations at Wagner Group-controlled websites.
Sewa Safety Providers (Sewa) is a CAR-based safety firm managed by the Wagner Group that gives safety for senior CAR authorities officers. Sewa has additionally claimed to supply “instructors” for “coaching workout routines” in CAR. Sewa is being designated underneath E.O. 13667 for being owned or managed by, or having acted or presupposed to act for or on behalf of, straight or not directly, PMC Wagner, an individual whose property and pursuits in property are blocked pursuant to E.O. 13667.
Officer’s Union for Worldwide Safety (OUIS) is a Wagner Group entrance firm working in CAR. Based mostly in Russia, OUIS claims to signify Russian “instructors” in CAR. Beginning in early 2021, the Wagner Group used OUIS to obscure a rise of Wagner Group personnel working in CAR. OUIS is being designated underneath E.O. 13667 for being owned or managed by, or having acted or presupposed to act for or on behalf of, straight or not directly, PMC Wagner, an individual whose property and pursuits in property are blocked pursuant to E.O. 13667.
Aleksandr Aleksandrovich Ivanov (Ivanov) is a Russian nationwide and the director of OUIS. As director, Ivanov offered an official response to a United Nations report that accused Russian “instructors” of committing human rights abuses in CAR. Ivanov is being designated underneath E.O. 13667 for being owned or managed by, or having acted or presupposed to act for or on behalf of, straight or not directly, PMC Wagner, an individual whose property and pursuits in property are blocked pursuant to E.O. 13667.
Kratol Aviation (Kratol) is a UAE-based aviation agency. The Wagner Group makes use of Kratol-provided plane to maneuver personnel and gear between the CAR, Libya, and Mali. Kratol is being designated underneath E.O. 13667 for having materially assisted, sponsored, or offered monetary, materials, logistical, or technological assist for, or items or providers in assist of, PMC Wagner, an individual whose property and pursuits in property are blocked pursuant to E.O. 13667.
Valery Nikolayevich Zakharov (Zakharov) is a Russian nationwide and Wagner Group worker, who served because the Nationwide Safety Advisor to CAR’s President, serving in each roles concurrently. Throughout his tenure because the CAR’s Nationwide Safety Advisor, Zakharov influenced the strategic route of the Wagner Group within the CAR, whereas advising CAR’s President on safety issues. Zakharov is being designated underneath E.O. 13667 for being owned or managed by, or having acted or presupposed to act for or on behalf of, straight or not directly, PMC Wagner, an individual whose property and pursuits in property are blocked pursuant to E.O. 13667.
SANCTIONING RUSSIA’S DEFENSE INDUSTRIAL COMPLEX, INCLUDING THOSE SUPPORTING PREVIOUSLY SANCTIONED RUSSIAN FEDERATION DEFENSE-RELATED ENTITIES
Treasury can be designating the next targets to additional degrade Russia’s warfare machine.
JSC Aviacon Zitotrans (Aviacon Zitotrans) is a Russian cargo airline that has dealt with cargo shipments for sanctioned Russian Federation protection entities. Moreover, Aviacon Zitotrans has shipped navy gear akin to rockets, warheads, and helicopter elements everywhere in the world. As an illustration, Aviacon Zitotrans has shipped protection materiel to Venezuela, Africa, and different areas. As one instance of its efforts, as of September 2022, Aviacon Zitotrans sought to make use of a Turkish firm and Turkish diplomats to facilitate the sale of Russian protection gear overseas on behalf of Rosoboroneksport OAO, a U.S.-designated Russian Federation state-owned protection agency. Aviacon Zitotrans is being designated pursuant to E.O. 14024 for working or having operated within the protection and associated materiel and aerospace sectors of the Russian Federation financial system. OFAC recognized as property by which Aviacon Zitotrans has an curiosity 4 Russia-registered Ilyushin plane with tail numbers RA-76842, RA-76502, RA-76846, and RA-78765.
AO Ural Civil Aviation Manufacturing unit (UCAF) has developed the Altius unmanned aerial automobile (UAV) for Russia’s Ministry of Protection. UCAF has particularly leveraged personnel to restore UAVs utilized in Russia’s full-scale invasion of Ukraine. UCAF is being designated pursuant to E.O. 14024 for working or having operated within the protection and associated materiel sector of the Russian Federation financial system.
Joint Inventory Firm Nationwide Aviation Service Firm (NASC) is a Russia-based state-owned enterprise that repairs and maintains plane and digital gear. Per a Russian Federation presidential decree, NASC was designated as Russia’s state middleman for the service of Russian navy plane equipped overseas. Regardless of current restrictions towards Russia’s military-industrial advanced, NASC has represented itself as not topic to sanctions for the aim of facilitating Russian protection contracts. NASC is being designated pursuant to E.O. 14024 for working or having operated within the aerospace sector of the Russian Federation financial system.
LLC Analysis & Manufacturing Enterprise Prima (Prima) is a Russia-based entity that develops and produces communication gear for Russian-manufactured helicopters and airplanes. Prima is being designated pursuant to E.O. 14024 for working or having operated within the aerospace sector of the Russian Federation financial system.
Federal State Unitary Enterprise Scientific and Manufacturing Enterprise Gamma (Gamma) is a Russia-based know-how entity that carries out work within the curiosity of the U.S.-designated Federal Safety Service (FSB) and the Ministry of Protection of the Russian Federation. Gamma is being designated pursuant to E.O. 14024 for working or having operated within the protection and associated materiel and know-how sectors of the Russian Federation financial system.
Alan Valeryevich Lushnikov (Lushnikov) is the biggest shareholder and president of the U.S.-designated Kalashnikov Concern, the unique producer of the AK-47 assault rifle. Lushnikov not directly owns 75 p.c of Kalashnikov Concern’s shares with the remaining 25 p.c being owned by U.S.-designated State Company Rostec. Lushnikov is being designated pursuant to E.O. 14024 for working or having operated within the protection and associated materiel sector of the Russian Federation financial system.
LLC TKKH-Make investments (TKKH-Make investments) is the monetary automobile by which Lushnikov owns shares in Kalashnikov Concern. Lushnikov owns one hundred pc of TKKH-Make investments, and TKKH-Make investments owns 75 p.c of Kalashnikov Concern. TKKH-Make investments was designated pursuant to E.O. 14024 for being owned or managed by, or having acted or presupposed to act for or on behalf of, straight or not directly, Lushnikov, an individual whose property and pursuits in property are blocked pursuant to E.O.14024.
JSC Aerospace Protection Concern Almaz-Antey (Almaz-Antey) is a Russia-based state-owned enterprise that designs, develops and manufactures anti-aircraft, anti-missile, and non-strategic missile protection programs. OFAC first designated Almaz-Antey on July 16, 2014, pursuant to E.O. 13661. At this time, OFAC redesignated Almaz-Antey pursuant to E.O. 14024 for working or having operated within the protection and associated materiel sector of the Russian Federation financial system.
Yan Valentinovich Novikov (Novikov) is a Russian nationwide and the Director Basic and CEO of Almaz-Antey. Novikov is being designated pursuant to E.O. 14024 for working or having operated within the protection and associated materiel sector of the Russian Federation financial system, and for being or having been a frontrunner, official, senior government officer, or member of the board of administrators, of the Authorities of the Russian Federation (GoR).
OFAC will proceed to focus on Russia’s efforts to resupply its weapons and maintain its warfare of aggression towards Ukraine and destabilizing actions worldwide, together with any overseas people or entities that help the Russian Federation in these efforts. Non-U.S. individuals danger publicity to sanctions pursuant to E.O. 14024 for supporting Russia’s military-industrial advanced.
TARGETING PUTIN’S CRONIES AND THEIR FAMILY MEMBERS
OFAC additionally sanctioned Rustam Nurgaliyevich Minnikhanov (Minnikhanov), a Russian nationwide and the chairman of the board of U.S.-designated Tupolev Public Joint Inventory Firm, which produces strategic bombers for Russia’s armed forces. Minnikhanov can be the longtime head of Tatarstan, a federal topic of the Russian Federation. Minnikhanov is being designated pursuant to E.O. 14024 for being or having been a frontrunner, official, senior government officer, or member of the board of administrators of the GoR and for working or having operated within the protection and associated materiel and aerospace sectors of the Russian Federation financial system.
A lot of Minnikhanov’s property is formally registered within the identify of his spouse, Gulsina Akhatovna Minnikhanova (Minnikhanova). Minnikhanova’s foremost asset is Obshchestvo s Ogranichennoi Otvetstvennostyu Luchano (Luciano), a resort and spa advanced in Kazan, a metropolis within the Russian Federation. In 2016, a non-governmental group (NGO) in Russia accused Minnikhanov and Minnikhanova of accepting bribes within the type of funding in Luciano and a mansion in Kazan. The identical NGO estimates that the Minnikhanov household owns properties price virtually $50 million, unfold throughout Russia, France, and the United Arab Emirates.
Minnikhanova is being designated pursuant to E.O. 14024 for being a partner of Minnikhanov. Luciano was designated pursuant to E.O. 14024 for being owned or managed by, or having acted or presupposed to act for or on behalf of, straight or not directly, Minnikhanova.
HOLDING RUSSIA ACCOUNTABLE FOR ILLEGAL ATTEMPTED ANNEXATION
A important side of Putin’s warfare towards Ukraine is Russia’s effort to manage – together with by sham annexation referendums – Russia-occupied areas of Ukraine. As part of selling accountability for these concerned on this side of Russia’s warfare effort, Treasury is designating two Russian Federation Presidential Administration (PA) officers concerned in these reprehensible efforts.
Aleksandr Dmitrievich Kharichev (Kharichev) and Boris Yakovlevich Rapoport (Rapoport) are Russian Federation PA officers related to U.S.-designated Sergei Kiriyenko. The PA subdivision led by Kharichev was tasked with hiring personnel to manage Russia-occupied areas of Ukraine’s Donbas area.
Kharichev’s subordinate Rapoport, who can be carefully tied to U.S.-designated former PA official Vladislav Surkov, has been engaged in nefarious exercise on behalf of the Kremlin for years, together with supporting electoral campaigns of Kremlin-backed candidates and implementing Kremlin coverage associated to self-proclaimed breakaway republics in Ukraine and Georgia. Most just lately, Rapoport ready the sham annexation referendums staged in September 2022 within the Donetsk, Kherson, Luhansk, and Zaporizhzhia oblasts of Ukraine.
Kharichev and Rapoport are being designated pursuant to E.O. 14024 for being or having been leaders, officers, senior government officers, or members of the board of administrators of the GoR. Kharichev and Rapoport have additionally been sanctioned by the European Union, Switzerland, and the UK.
The Division of State is concurrently taking plenty of actions underneath E.O. 14024. It’s designating 5 entities and one particular person linked to the Wagner Group and can be designating 23 people and entities for his or her standing as authorities officers, their involvement within the prolonged networks of designated individuals, and/or for being part of Russia’s navy industrial advanced. Moreover, the Division of State is figuring out two yachts and one plane as blocked property. Data on these actions is on the market on this Reality Sheet [+link].
SANCTIONS IMPLICATIONS
Because of at present’s motion, all property and pursuits in property of the people above which might be in the USA or within the possession or management of U.S. individuals are blocked and should be reported to OFAC. As well as, any entities which might be owned, straight or not directly, 50 p.c or extra by a number of blocked individuals are additionally blocked. All transactions by U.S. individuals or inside (or transiting) the USA that contain any property or pursuits in property of designated or blocked individuals are prohibited except licensed by a basic or particular license issued by OFAC, or exempt. These prohibitions embody the making of any contribution or provision of funds, items, or providers by, to, or for the advantage of any blocked particular person and the receipt of any contribution or provision of funds, items, or providers from any such particular person.
The facility and integrity of OFAC sanctions derive not solely from the flexibility to designate and add individuals to the SDN Record but additionally the willingness to take away individuals from the SDN Record per the legislation. The final word objective of sanctions is to not punish however to deliver a couple of optimistic change in conduct. For data in regards to the course of for in search of elimination from an OFAC checklist, together with the SDN Record, please consult with OFAC’s Ceaselessly Requested Query 897. For detailed data on the method to submit a request for elimination from an OFAC sanctions checklist.
For figuring out data on the people and entities sanctioned or property recognized at present.
###
