{"id":47032,"date":"2022-04-07T22:40:49","date_gmt":"2022-04-08T05:40:49","guid":{"rendered":"https:\/\/lapost.us\/?p=47032"},"modified":"2022-04-07T22:40:49","modified_gmt":"2022-04-08T05:40:49","slug":"the-united-states-sanctions-major-russian-state-owned-enterprises","status":"publish","type":"post","link":"https:\/\/lapost.us\/?p=47032","title":{"rendered":"The United States Sanctions Major Russian State-Owned Enterprises"},"content":{"rendered":"<div class=\"date-format field field--name-field-news-publication-date field--type-datetime field--label-hidden field__item\"><time datetime=\"2022-04-07T23:30:00Z\">April 7, 2022<\/time><\/div>\n<div class=\"field field--name-field-news-body field--type-text-long field--label-hidden field__item\">\n<p class=\"paragraph\" align=\"center\"><em>In Combined Action, Treasury and State Target Major Russian Companies<\/em><\/p>\n<p>WASHINGTON \u2013 Today the U.S. Department of the Treasury\u2019s Office of Foreign Assets Control (OFAC) designated Alrosa, a Russian state-owned enterprise (SOE) and the world\u2019s largest diamond mining company, which is also responsible for 90 percent of Russia\u2019s diamond mining capacity. The Department of State\u00a0also redesignated Joint Stock Company United Shipbuilding Corporation (USC), as well as its subsidiaries and board members. USC is a Russian SOE that develops and constructs the majority of the Russian military\u2019s warships, likely including many of those used to bombard Ukraine\u2019s cities and harm Ukraine\u2019s citizens. These actions were taken pursuant to Executive Order (E.O.) 14024. Through these designations, Treasury is cutting off additional sources of support and revenue for the Government of the Russian Federation (GoR) to wage its unprovoked war against Ukraine.<br \/>\n\u201cThese sanctions will continue to apply pressure to key entities that enable and fund Russia\u2019s unprovoked war against Ukraine,\u201d said Brian Nelson, Under Secretary of the Treasury for Terrorism and Financial Intelligence. \u201cThese actions, taken with the Department of State and in coordination with our allies and partners, reflect our continued effort to restrict the Kremlin\u2019s access to assets, resources, and sectors of the economy that are essential to supplying and financing Putin\u2019s brutality.\u201d<\/p>\n<h3>TREASURY TARGETS WORLD\u2019S LARGEST DIAMOND MINING COMPANY<\/h3>\n<p><strong>Public Joint Stock Company Alrosa (Alrosa)<\/strong>\u00a0is a Russian SOE and the world\u2019s largest diamond mining company, accounting for 28 percent of global diamond mining. In 2021 Alrosa generated over $4.2 billion in revenue. Diamonds are one of Russia\u2019s top ten non-energy exports by value, with exports in 2021 totaling over $4.5 billion. Alrosa is also responsible for 90 percent of Russia\u2019s diamond mining capacity. On February 24, 2022, OFAC identified Alrosa as subject to prohibitions pursuant to\u00a0<a href=\"https:\/\/home.treasury.gov\/system\/files\/126\/new_debt_and_equity_directive_3.pdf\">Directive 3 under E.O. 14024, \u201cProhibitions Related to New Debt and Equity of Certain Russia-related Entities\u201d (Russia-related Entities Directive)<\/a>.<br \/>\nToday OFAC is expanding previous sanctions by designating Alrosa pursuant to E.O. 14024 for being owned or controlled by, or for having acted or purported to act for or on behalf of, directly or indirectly, the GoR. Alrosa has also been sanctioned by Canada, the United Kingdom, New Zealand, and the Bahamas. All entities owned 50 percent or more, directly or indirectly, by Alrosa are blocked under E.O.\u00a014024, even if not separately designated or identified by OFAC.<\/p>\n<h3>DEPARTMENT OF STATE TARGETS RUSSIA\u2019S LARGEST SHIPBUILDING COMPANY, SUBSIDIARIES, AND BOARD MEMBERS<\/h3>\n<p><strong>United Shipbuilding Corporation (USC)<\/strong>\u00a0is a major Russian SOE responsible for developing and building the Russian Navy\u2019s warships. USC is responsible for the construction of almost all of Russia\u2019s warships, as well as those built for foreign customers. Along with re-designating USC, the Department of State designated 28 subsidiaries and eight board members. These actions were also taken pursuant to E.O. 14024.<\/p>\n<p><a href=\"https:\/\/www.state.gov\/additional-state-department-designations-targeting-russian-state-owned-defense-shipbuilding-enterprise\/\">For further information on today\u2019s action by the Department of State please click here.<\/a><\/p>\n<h3>SANCTIONS IMPLICATIONS<\/h3>\n<p>As a result of today\u2019s action, all property and interests in property of the persons above that are in the United States or in the possession or control of U.S. persons are blocked and must be reported to OFAC. In addition, any entities that are owned, directly or indirectly, 50 percent or more by one or more blocked persons are also blocked. All transactions by U.S. persons or within (or transiting) the United States that involve any property or interests in property of designated or otherwise blocked persons are prohibited unless authorized by a general or specific license issued by OFAC, or otherwise exempt. These prohibitions include the making of any contribution or provision of funds, goods, or services by, to, or for the benefit of any blocked person and the receipt of any contribution or provision of funds, goods, or services from any such person.<\/p>\n<\/div>\n","protected":false},"excerpt":{"rendered":"<p>April 7, 2022 In Combined Action,&#46;&#46;&#46;<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[7,5],"tags":[],"class_list":["post-47032","post","type-post","status-publish","format-standard","hentry","category-u-s-a","category-world"],"_links":{"self":[{"href":"https:\/\/lapost.us\/index.php?rest_route=\/wp\/v2\/posts\/47032","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/lapost.us\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/lapost.us\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/lapost.us\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/lapost.us\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=47032"}],"version-history":[{"count":1,"href":"https:\/\/lapost.us\/index.php?rest_route=\/wp\/v2\/posts\/47032\/revisions"}],"predecessor-version":[{"id":47033,"href":"https:\/\/lapost.us\/index.php?rest_route=\/wp\/v2\/posts\/47032\/revisions\/47033"}],"wp:attachment":[{"href":"https:\/\/lapost.us\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=47032"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/lapost.us\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=47032"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/lapost.us\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=47032"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}