The EU updated its frequently asked questions pages relating to its Russia sanctions regime for a host of topics. The new guidance relates to public procurement, aviation, credit rating, deposits, insurance and reinsurance, state-owned enterprises, customs-related matters and circumvention and due diligence.
The U.S. should soon impose “hard-hitting” Magnitsky sanctions against Chinese artificial intelligence surveillance company Hikvision for its role in human rights violations in Xinjiang, which could help deter other companies from supporting the region’s surveillance complex, said Dahlia Peterson, a research analyst at Georgetown University's Center for Security and Emerging Technology. Although the U.S. added Hikvision to the Entity List in 2019 (see 2205090014), placing the company on the Treasury Department’s Specially Designated Nationals List would “be a step forward,” Peterson said.
The Office of Foreign Assets Control published a new frequently asked question and updated two other FAQs related to its Russia sanctions. New FAQ 1055 clarifies how and whether Russia-related investment restrictions apply to the lending of funds or the purchasing of an equity interest in entities located outside Russia.
The Office of Foreign Assets Control designated two officials in Bosnia and Herzegovina: Marinko Cavara, president of the Federation of Bosnia and Herzegovina, and Alen Seranic, minister of health and social welfare for the Republika Srpska. The two have threatened the stability of the region by undermining the Dayton Peace Accords and democratic processes or institutions, OFAC said in a June 6 news release.
The EU officially imposed its sixth sanctions package on Russia following its invasion of Ukraine, the European Council announced June 3. The package includes a phased ban on the "purchase, import or transfer" of crude oil and certain petroleum goods from Russia to the EU. The prohibition will take six months for crude oil and eight months for other refined petroleum products. The council also laid out a temporary exception for crude oil imported via pipeline into the EU member states that "suffer from a specific dependence on Russian supplies and have no viable alternative options" -- namely, Hungary, which held up the ban over energy supply concerns (see 2206020016). Bulgaria and Croatia were also granted exceptions for the import of Russian seaborne crude oil and vacuum gas oil, respectively.
The EU imposed restrictive measures on another 12 individuals and eight entities for their role in repressing human rights in Belarus, the European Council announced June 3. The restrictions stand in addition to the EU's sixth sanctions package imposed June 3 and seek to address Belarus' role in the war in Ukraine. The new listings target high ranking state officials, businesspeople and their family members, individuals in the judicial branch and prominent media figures, the council said. The restrictions also target Belaruskali, the country's main potash producer, and its export wing, Belarusian Potash, along with state television and radio broadcasting company Belteleradio. Other companies, including tobacco and public transport vehicle manufacturers, also were listed.
The Office of Foreign Assets Control on June 2 sanctioned six people who support the Cartel de Jalisco Nueva Generacion (CJNG), a Mexico-based drug trafficking organization. The designations target Severo Flores Mendoza, a "corrupt municipal police" official; Julio Cesar Montero Pinzon, member of a "violent" CJNG enforcement group; and six family members of a former senior member of CJNG: Esther Godoy Arellano, Angelberto Rincon Godoy, Julio Efrain Rincon Godoy and Moises Gonzalez Anguiano. OFAC previously designated CJNG members of the cartel last year (see 2110060017) and 2202180011). The agency said it worked with the Mexican government, Drug Enforcement Agency and CBP to impose the sanctions.
The U.N. Security Council recently amended six entries on its ISIL (Da'esh) and al-Qaida Sanctions list, according to two separate notices. The revisions change identifying information for each of the entries.
The Office of Foreign Assets Control published three new FAQs related to the Chinese Military-Industrial Complex Sanctions, according to a June 1 notice. The FAQs address how U.S. financial institutions must deal with transactions involving Chinese Military-Industrial Complex Companies' (CMIC) securities, how holders of CMIC are affected by dividends, and whether they are required to divest interests.
The EU extended its Syria sanctions regime for another year, with restrictions to expire June 1, 2023, the European Council announced May 31. The sanctions apply to 289 individuals and 70 entities, subjecting all to an asset freeze and the individuals to a travel ban. The restrictions were imposed in 2011 to counter the state violence following the Arab Spring protests and ensuing civil war.