The Bureau of Industry and Security on April 7 suspended the export privileges of three Russian airlines for violating U.S. export controls against Russia. The agency issued 180-day temporary denial orders for Aeroflot, Azur Air and UTair, which bar the airlines from participating in transactions with items subject to the Export Administration Regulations, BIS said. The agency said it may renew the denial orders after 180 days.
After passing the House 424-8 more than two weeks ago, a bill to end permanent normal trade relations status with Russia and Belarus remains hung up in the Senate. Sen. Rand Paul, R-Ky., objected to the language renewing Magnitsky sanctions that is attached to the bill (see 2203290057).
European Commission President Ursula von der Leyen announced in an April 5 speech in Strasbourg the scope of the EU's fifth round of sanctions on Russia following its invasion of Ukraine, according to prepared remarks. The sanctions consist of "six pillars" along with a host of restrictions on individuals close to the Russian regime.
The U.S. and allies plan to issue a host of new Russia sanctions today, April 6, including new investment restrictions and more sanctions targeting financial firms, state-owned companies and government officials, White House Press Secretary Jen Psaki said April 5. The sanctions, previewed earlier this week by U.S. national security adviser Jake Sullivan (see 2204040003), are part of the administration's efforts to impose "consequences" on Russia and "hold Russian officials accountable" for the country's war in Ukraine, Psaki said. "Our objective here is to deplete the resources that [Russian President Vladimir] Putin has to continue his war against Ukraine," Psaki said. "And obviously causing more uncertainty and challenges to their financial system is a part of that."
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If the Bureau of Industry and Security’s new undersecretary doesn’t quickly prove he can make progress on export controls for foundational technologies, Congress should consider moving the authority to a different agency, said Derek Scissors, a China economics expert with the American Enterprise Institute. Although lawmakers have previously threatened to revoke BIS’s authority under the Export Control Reform Act (see 2111170064 and 2110250035), Scissors said they should wait to first hear whether newly confirmed undersecretary Alan Estevez has a plan to speed up the agency, which has been criticized for moving too slowly on the controls.
The U.S. will soon issue a series of new Russian financial restrictions, including full-blocking sanctions on the country’s largest financial institution, Sberbank, and its largest private bank, Alfa Bank, the White House said April 6. The U.S. will also impose full-blocking sanctions against a group of “critical” Russian state-owned entities, Russian government officials, oligarchs and their family members, including President Vladimir Putin’s adult children. President Joe Biden will also issue an executive order blocking new investment in Russia by U.S. people or companies. The U.S. sanctions will be announced alongside similar measures by G7 member states and the EU.
A $90 million yacht owned by sanctioned Russian oligarch Viktor Vekselberg was seized by Spanish law enforcement at the behest of the U.S., DOJ announced April 4. The 255-foot luxury yacht, the Tango, was subject to forfeiture following the issuance of a seizure warrant filed in the U.S. District Court for the District of Columbia. The warrant alleged that the yacht was subject to forfeiture based on violations of U.S. bank fraud, money laundering and sanctions laws, DOJ said.
Rep. August Pfluger, R-Texas, and seven other Republicans, have introduced a bill that would require the administration "respond to a cyberattack either with sanctions or a classified/unclassified report for Congress to explain why they are not acting to create more accountability," Pfluger said in a press release announcing the introduction March 30.
Rep. Dan Meuser, R-Pa., and Rep Susan Wild, D-Pa., introduced a bill that would establish congressional oversight of some U.S. sanctions on Russia. No text has been released yet, and Meuser's office didn't respond to a request for the text by press time.