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On Second Anniversary of Russia’s Further Invasion of Ukraine and Following the Death of Aleksey Navalny, Treasury Sanctions Hundreds of Targets in Russia and Globally

WASHINGTON — Today, marking Russia’s two years of unprovoked and unlawful full-scale war against Ukraine and in response to the death of opposition politician and anticorruption activist Aleksey Navalny, the U.S. Department of the Treasury’s Office of Foreign Assets Control (OFAC) is sanctioning almost 300 individuals and entities. Together with actions from the U.S. Department of State (State), this is the largest number of sanctions imposed since Russia’s full-scale invasion of Ukraine. State is designating three Government of Russia officials in connection with Navalny’s death; together, Treasury and State are sanctioning over 500 targets to impose additional costs for Russia’s repression, human rights abuses, and aggression against Ukraine. The Department of Commerce is also adding more than 90 companies to the Entity List.

To deny Russia the resources necessary to support its brutal war against Ukraine, Treasury is designating targets including a major cog in Russia’s financial infrastructure; more than two dozen third-country sanctions evaders in Europe, East Asia, Central Asia, and the Middle East; and hundreds of entities in Russia’s military-industrial base and other key sectors.

“This solemn anniversary and Aleksey Navalny’s death in Russian custody are stark and tragic reminders of Putin’s brazen disregard for human life, from Ukrainians suffering the costs of his unprovoked war to people across Russia who dare to expose the corrupt abuses that fuel his regime,” said Secretary of the Treasury Janet L. Yellen.  “Russia’s economy and military-industrial base are showing clear signs of weakness in part due to the actions we, along with our partners and allies around the world, have taken to support Ukraine’s brave defense. Putin has mortgaged the present and future of the Russian people for his own aims to subjugate Ukraine. The Kremlin chooses to reorient its economy to build weapons to kill its neighbors at the expense of the economic future of its own people. But we must sustain our support for Ukraine even as we weaken Russia’s war machine. It’s critical that Congress steps up to join our allies around the world in giving Ukraine the means to defend itself and its freedom against Putin’s barbarous assault.”

State’s concurrent actions include sanctions on those involved in supporting Russian future energy revenue sources, maintaining Russia’s capacity to wage its war of aggression, and facilitating sanctions evasion and circumvention. State is also taking steps to impose visa restrictions on Russian Federation-installed purported authorities involved in the transfer, deportation, and confinement of Ukraine’s children. 

Since February 2022, the U.S. government has deployed a number of economic tools aimed at disrupting and degrading Russia’s economy and war machine. Over the last two years, including today, the Departments of the Treasury and State have designated over 4,000 entities and individuals pursuant to Russia-related sanctions authorities. Treasury’s actions, alongside those of its partners across the globe, are restricting Russia’s ability to generate the revenue it needs to fund its war and disrupting the Kremlin’s efforts to build a wartime economy.

RUSSIA’S FINANCIAL INFRASTRUCTURE

OFAC is targeting Russia’s core financial infrastructure, including the operator of the Mir National Payment System and Russian banks, investment firms, and financial technology (fintech) companies, to further implement G7 commitments to curtail Russia’s use of the international financial system to further its war against Ukraine.

National Payment Card System Joint Stock Company (NSPK) is the state-owned operator of Russia’s Mir National Payment System. NSPK is owned by the Central Bank of Russia and plays a key role in facilitating financial transactions both internal to Russia and abroad. The Government of Russia’s proliferation of Mir has permitted Russia to build out a financial infrastructure that enables Russian efforts to evade sanctions and reconstitute severed connections to the international financial system. The United States has repeatedly emphasized the risks of the Mir system to our partners around the globe. 

NSPK was designated pursuant to E.O. 14024 for operating or having operated in the financial services sector of the Russian Federation economy.

OFAC also designated nine regional financial institutions, including several headquartered in Russian military-industrial base hubs; five investment and venture capital funds that seek to underwrite Russia’s development of advanced and next-generation technology and industry and inject domestic and foreign investment into Russian companies; and six financial technology (fintech) companies that provide software and IT solutions for Russian financial institutions. For more information on these targets, please see Annex 4.

SANCTIONS EVASION, CIRCUMVENTION, AND BACKFILL

In addition to individuals and entities located in Russia, OFAC continues to target persons outside of Russia who facilitate, orchestrate, engage in, and otherwise support the transfer of critical technology and equipment to Russia’s military-industrial base. OFAC also will continue to impose sanctions on persons, wherever located, that allow Russia to reconnect to global financial markets using illicit channels. Targeting third-country facilitators is also a focus of our international partners, who also continue to sanction persons outside of Russia whose actions enable Russia to maintain, sustain, and rebuild its war machine. Our international coalition is sending a clear message to would-be evaders and circumventers that such actions have and will continue to have consequences. 

Today’s OFAC targets are located across the world and include third-country exporters and transhippers of technology, equipment, and parts to Russia, a freight forwarder involved in weapons shipments to Russia, and a transnational money laundering network facilitating the illicit movement of Russian-origin precious metals. In all, OFAC today targeted 26 third-country entities and individuals in 11 countries, including the People’s Republic of China, Serbia, the United Arab Emirates, and Liechtenstein. For more information on these targets, please see Annex 3.

ALABUGA UAV PROCUREMENT NETWORK

Today’s action also targets the network through which Russia has acquired and produced deadly unmanned aerial vehicles (UAVs). Russia and Iran’s Ministry of Defense and Armed Forces Logistics (MODAFL) have cooperated to finance and produce Iranian-designed one-way attack UAVs, also known as kamikaze drones, at a newly established a facility in Russia. State is also designating MODAFL pursuant to E.O. 14024 today. This network has facilitated shipments, conducted financial transactions, and engaged in industrial production in support of this cooperation between Russian and Iran to produce one-way attack UAVs for use by the Russian military in Ukraine, including against critical infrastructure and other civilian targets. For more information on these targets, please see Annex 1.

RUSSIA’S MILITARY-INDUSTRIAL BASE AND OTHER SECTORS OF THE RUSSIAN FEDERATION ECONOMY

Over the past two years, the U.S. government has imposed sanctions on a wide array of individuals and entities in Russia’s military-industrial base, from Russia’s flagship defense companies to machine tool importers, third-country sanctions evaders to semiconductor manufacturers. As Russia’s overheating war economy continues to cannibalize non-defense-related production at the expense of future economic prospects for the Russian people, an increasing number of entities across Russia are directly or indirectly contributing to Russia’s war machine. 

Foreign financial institutions that conduct or facilitate significant transactions, or provide any service, involving Russia’s military-industrial base—including any person designated pursuant to E.O. 14024 for operating or having operated in the technology, defense and related materiel, construction, aerospace, and manufacturing sectors of the Russian Federation economy—run the risk of being sanctioned by OFAC. Russia’s military-industrial base may also include individuals and entities that support the sale, supply, or transfer of certain items or classes of items. OFAC has issued Guidance for Foreign Financial Institutions on OFAC Sanctions Authorities Targeting Support to Russia’s Military-Industrial Base.

Today’s actions continue Treasury’s campaign to disrupt and degrade Russia’s military-industrial base, with a focus on advanced manufacturing and technology such as machine tools, including computer numerically controlled (CNC) machines, which are used in Russia’s heavy machine-building and arms manufacturing industries; additive manufacturing (also known as 3D printing), of which Russia has increased its use for defense purposes, including creating special-purpose 3D printers for the production of UAVs, aircraft parts, and other military-related items; bearings, which are an integral component of Russia’s military hardware, including its main battle tanks; and other fields such as robotics, industrial automation and software, specialized lubricants, and lasers. 

Today’s actions also target persons operating or having operated in other sectors of the Russian Federation economy, including the engineering, electronics, metals and mining, and transportation sectors. 

For more information on these targets, please see Annex 2.

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ANNEX 1

ALABUGA SPECIAL ECONOMIC ZONE

Russia-based Joint Stock Company Special Economic Zone of Industrial Production Alabuga (SEZ Alabuga) maintains a contract with the Russian military to assemble Geran-2 UAVs that were shipped from Iran, while increasing domestic production capability to produce many of the components for the Iranian-designed UAVs in Russia. SEZ Alabuga is expected to ramp up production under their contract to produce thousands of UAVs through 2025. SEZ Alabuga is owned and controlled by the Government of the Republic of Tatarstan. SEZ Alabuga has exploited underage students from an affiliated polytechnic university as laborers to assemble these attack UAVs in exploitative conditions. 

Albatros OOO (Albatros) is a Russia-based UAV manufacturer that produces the “Albatross M5” UAV that has been operated by the Russian military for reconnaissance against Ukrainian forces. Albatros has partnered with SEZ Alabuga to expand their manufacturing capability through a new facility at SEZ Alabuga.

Limited Liability Company Drake (Drake) is a Russia-based company contracted to receive UAV parts, components, and raw materials from Iran for use in Iranian-designed, Russian-manufactured UAVs. Drake is also involved in a scheme with SEZ Alabuga and Russia-based Alabuga Development OOO to procure commercial UAVs that would be modernized and weaponized for use by the Russian military.

SEZ Alabuga, Albatros, and Drake were designated pursuant to E.O. 14024 for operating or having operated in the defense and related materiel sector of the Russian Federation economy.

SEZ Alabuga Officials

Russia national Timur Nailevich Shagivaleev (Shagivaleev) is the General Director and member of the Board of Directors for SEZ Alabuga who is involved in the efforts by SEZ Alabuga to increase the manufacturing of UAVs, including efforts to conduct reverse engineering and import substitution to localize production. Shagivaleev has been named in connection with the exploitation of underage students to assemble these UAVs.

Russia national Sergey Sergeyevich Alekseyev (Alekseyev) is the Deputy Chief Executive Officer of SEZ Alabuga and has been involved in the transshipment of materials from Iran to Russia, related to the production of UAVs at SEZ Alabuga.

Russia national Ildar Rashitovich Tazutdinov (Tazutdinov) is the Deputy Director General of Corporate Affairs for SEZ Alabuga and was involved in the transshipment and importation of materials and disassembled UAVs from Iran to Russia related to SEZ Alabuga’s UAV production activity.

Russia national Artem Alexandrovich Snitko (Snitko) is an SEZ Alabuga official involved in the production of Iranian-designed UAVs, such as the Shahed-136, and its Russian version, the Geran-2. Snitko was also involved in the transshipment of materials from Iran to Russia related to SEZ Alabuga’s UAV production activity.

Shagivaleev, Alekseyev, Tazutdinov, and Snitko were designated pursuant to E.O. 14024 for being or having been leaders, officials, senior executive officers, or members of the board of directors of SEZ Alabuga.

Albatros Officials

Russia national Aleksei Vadimovich Florov (Florov) is the General Director of Albatros who is involved with both Albatros’ production expansion to SEZ Alabuga, as well as the effort to localize the production of the Iranian-designed Geran-2.

Russia national Ilya Vladimirovich Voronkov (Voronkov) is a director and shareholder of Albatros.

Florov and Voronkov were designated pursuant to E.O. 14024 for being or having been leaders, officials, senior executive officers, or members of the board of directors of Albatros.

SEZ Alabuga Subsidiaries and Financial Facilitators

Russia-based Limited Liability Company Alabuga Machinery (Alabuga Machinery) is a subsidiary of SEZ Alabuga, via its controlling shareholders Alabuga Development and Russia-based GEA OOO, which is itself a subsidiary of Alabuga Development and SEZ Alabuga. Alabuga Machinery has been used to facilitate financial transactions and trade on behalf of its ultimate beneficial owner SEZ Alabuga to the Iranian government for UAV parts, components, and raw materials.

Alabuga Development OOO (Alabuga Development) is a subsidiary of SEZ Alabuga. Alabuga Development is also involved in a scheme with SEZ Alabuga and Drake to procure commercial UAVs that would be modernized and weaponized for use by the Russian military.

Alabuga Machinery, Alabuga Development, and GEA OOO were designated 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, SEZ Alabuga.

Russia-based LLC Alabuga Exim (Alabuga Exim), Limited Liability Company NR-DEL (NR-DEL), and Limited Liability Company Specialized Developer Alabuga South Park (Alabuga South Park) are subsidiaries of Alabuga Development.

Russia-based Limited Liability Company Zimens Yokogawa (Zimens Yokogawa) is a subsidiary of Alabuga Development. Zimens Yokogawa has been used to facilitate financial transactions with Iranian front companies.

Alabuga Exim, NR-DEL, Alabuga South Park, and Zimens Yokogawa were designated 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, Alabuga Development.

Iranian Financial Facilitation

Iran’s MODAFL has used a United Arab Emirates-based (UAE-based) front company, Generation Trading FZE, to facilitate the sale of sample UAV models, UAV parts, and related ground stations to SEZ Alabuga to support UAV production in Russia. Generation Trading FZE has received millions of dollars’ worth of payments from SEZ Alabuga and its subsidiaries in support of MODAFL’s contract, which is worth hundreds of millions of dollars.

Generation Trading FZE was designated pursuant to E.O. 13224, as amended, for having materially assisted, sponsored, or provided financial, material, or technological support for, or goods or services to or in support of, MODAFL.

Other SEZ Alabuga Entities

OFAC also targeted five other entities located at SEZ Alabuga, all of which were designated pursuant to E.O. 14024 for operating or having operated in the manufacturing sector of the Russian Federation economy:

  • Aktsionernoe Obshchestvo Akonit Alabuga produces metal structures such as roller supports.
  • Aktsionernoe Obshchestvo Akonit Ural produces conveyor rollers.
  • Limited Liability Company Vertikal Alabuga manufactures ready-mixed concrete for construction purposes.
  • ST Alabuga produces special machinery and freight transportation. 
  • TN Alabuga manufactures plastics and synthetic resins in primary form.

 

ANNEX 2

 

RUSSIA’S MILITARY INDUSTRIAL BASE AND CERTAIN OTHER SECTORS OF THE RUSSIAN FEDERATION ECONOMY

Weapons production

The following Russia-based entities were designated pursuant to E.O. 14024 for operating or having operated in the defense and related materiel sector of the Russian Federation economy:

  • Aktsionernoe Obshchestvo Zavod Elekon is involved in the production of weapons, ammunition, and components used for missiles, submarines, tanks, and radars.
  • Joint Stock Company Plant N9 is a subsidiary of U.S.-designated State Corporation Rostec, Russia’s flagship defense conglomerate. Joint Stock Company Plant N9 is responsible for the production of barrel artillery systems for Russia’s T-72, T-90, and Armata tanks.
  • Joint Stock Company State Research Institute of Instrument Engineering manufactures radar equipment and radio navigation equipment and develops navigation and guidance systems for ballistic and cruise missiles and inertial control systems for various classes of missiles, bombs, and torpedoes.
  • Joint Stock Company Verkhneturinsky Machine Building Plant is a plant with forging and press facilities and machining assembly production that has produced artillery shells, illumination rounds, and Grad rocket casings.
  • Limited Liability Company Moscow Arms Company manufactures precision weapons used by Russian snipers in Ukraine.

Grazhdanskie Pripasy manufactures cartridges for weapons and cartridge components. Grazhdanskie Pripasy was designated pursuant to E.O. 14024 for operating or having operated in the manufacturing sector of the Russian Federation economy.

Additive manufacturing 

The following Russia-based entities were designated pursuant to E.O. 14024 for operating or having operated in the manufacturing sector of the Russian Federation economy:

  • 3D.RU engages in 3D printing, prototyping, 3D modeling, and 3D scanning, resulting in the manufacture of plastic products.
  • Center of Digital Technologies offers 3D scanning, 3D modeling, industrial 3D printing, and reverse engineering services, including to support Russian aircraft production and machine-building.
  • Limited Liability Company Neoveytus supplies metalworking equipment and 3D printers to Russian industrial enterprises.
  • Limited Liability Company Polymer Pipe Plant manufactures high-precision plastic for 3D printing.
  • LLC Additive Engineering manufactures items for industrial enterprises using 3D printing.
  • LLC KB 78 manufactures custom-order 3D printers.
  • LLC Mir Stanochkina is a supplier of 3D printers and 3D scanners.
  • Metal Sprint designs and produces metal parts using 3D printing.
  • Printproduct develops and produces plastics for 3D printing, including for use in aerospace applications.
  • RangeVision manufactures 3D scanners.
  • Russian Extrusion Company manufactures consumables for 3D printers.
  • Scanform manufactures 3D scanners.
  • Limited Liability Company Group of Companies Spetsmetallmaster engages in metal processing relating to additive manufacturing technologies. The company’s primary customers are in Russia’s military-industrial base.
  • Stereotech manufactures 3D printers.
  • Total Z LLC manufactures industrial 3D printers.
  • Zenit 3D manufactures 3D printers.

The following Russia-based entities were designated pursuant to E.O. 14024 for operating or having operated in the technology sector of the Russian Federation economy:

  • Innfocus Limited Liability Company operates in the areas of additive technologies and integrated photonics and engages in additive design, custom production, maintenance, and consulting for Russian industrial enterprises.
  • Joint Stock Company Globatek Group is a supplier of 3D printers, 3D scanners, and associated software. The company caters to Russian government clients and Russia’s military-industrial base.
  • Limited Liability Company 3D Mall is a supplier of 3D printers, 3D scanners, and related products to major Russian enterprises.
  • LLC Applicata installs, maintains, and supplies 3D scanners and 3D printers to industrial complexes and through government procurement.
  • LLC Company RusMarket is a supplier of 3D printers, 3D scanners, and software.
  • LLC Engine of Progress engages in the sale of 3D printers, software, CNC machines, and consumables for 3D printers, primarily to government institutions.
  • Ofitrade is a supplier of 3D printers and 3D scanners in Russia.
  • SIU System Joint Stock Company engages in a variety of activities relating to additive manufacturing, including the creation of additive centers for Russian manufacturing entities. 
  • Spetsialnoe Konstruktorskoe Byuro-14 Vologda is a supplier of 3D printers, 3D scanners, and software.
  • Top 3D Group engages in 3D printing, 3D scanning, and 3D modeling services.
  • Z Axis LLC is a distributor of industrial 3D equipment.

Machine tools and other manufacturing and metalworking equipment

The following Russia-based entities were designated pursuant to E.O. 14024 for operating or having operated in the manufacturing sector of the Russian Federation economy:

  • Ekotekhplast manufactures plastic products, sheets, tubes, and machinery for metallurgy.
  • Feniks manufactures hydraulic and pneumatic equipment, metalworking equipment, and ceramic-cutting equipment.
  • Inkor Limited Liability Company imports metalworking equipment and machine tools for Russian enterprises and also manufactures its own machine tools and accessories.
  • Joint Stock Company Stankomashkompleks manufactures metalworking equipment.
  • Lidermash Stanki is involved in the manufacture of metalworking equipment and supplies metalworking equipment, cutting machines, and press-forging plants.
  • Limited Liability Company Allrus manufactures hydraulic and pneumatic power equipment, pumps, and compressors.
  • Limited Liability Company Avantage Engineering manufactures tools, radiators and boilers, tanks and metal containers, and metal structures and parts.
  • Limited Liability Company Bodor is involved in the manufacture of special accessories for machine tools and supplies CNC machine tools, fiber optic lasers, and dividing devices. 
  • Limited Liability Company Durma Rusya manufactures metalworking machines.
  • Limited Liability Company Invest Stanko is involved in the production of heavy metalworking machines and supplies machine tools, metal-cutting equipment, and metalworking machines to Russian defense contractors.
  • Limited Liability Company KMT is involved in the manufacture of metalworking equipment and supplies foreign-origin metalworking machines.
  • Limited Liability Company Milling Machines manufactures CNC machines, plasma and drilling rigs, and special equipment, including for Russian military-industrial complex enterprises.
  • Limited Liability Company Production Association Insistence is a tool manufacturing enterprise that operates a machine park with more than 50 CNC machines.
  • Limited Liability Company Pumping Company Kron manufactures pumps, compressors, taps, and valves.
  • LLC Trading House Stankomashstroy imports foreign-made machinery, metalworking machines, and machine tools and is involved in the repair of machinery and equipment.
  • NPO Uralpodshipnik sells ball bearings to the machine-building, oil and gas, metallurgy, cement, coal, and mining industries, and is involved in the assembly and installation of prefabricated elements. 
  • Obshchestvo S Ogranichennoi Otvetstvennostiu Tekhnokratiya wholesales industrial equipment and machinery and is involved in the manufacture of structures and the repair of machinery and equipment.
  • Obshchestvo S Ogranichennoi Otvetstvennostiu Viktoriya wholesales machine tools and is involved in machining, manufacturing, and the repair of machinery and equipment.
  • Obshchestvo S Ogranichennoi Otvetstvennostyu Alyans supplies and services metalworking machines and equipment.
  • Obshchestvo S Ogranichennoi Otvetstvennostyu Inzhiniringovye Resheniya is involved in machining and the manufacture of tools, wire products, fasteners, metal structures, and fabricated metal products.
  • Obshchestvo S Ogranichennoi Otvetstvennostyu Kompaniya Intervesp equips Russian enterprises with woodworking, metalworking, and industrial equipment, tools, and spare parts.
  • Obshchestvo S Ogranichennoi Otvetstvennostyu Periton Inzhiniring supplies modern industrial machine tools and metalworking equipment and technology.
  • Obshchestvo S Ogranichennoi Otvetstvennostyu Valma wholesales machinery, machine tools, and other machinery and equipment, and also repairs machinery and equipment.
  • Obshchestvo S Ogranichennoi Otvetstvennostyu Veber Komekhaniks works with Russia’s largest industrial enterprises and manufacturers, including work on high-tech CNC equipment projects.
  • Priminer Russland is a milling machine manufacturer and machining center.
  • Unimatik Msk produces a wide range of turning and milling machines for machine-building enterprises.
  • Vende Group LLC supplies cutting tools and CNC metalworking equipment to Russian manufacturing enterprises.

Lubricants, coolants, and industrial chemicals

The following Russia-based entities were designated pursuant to E.O. 14024 for operating or having operated in the manufacturing sector of the Russian Federation economy:

  • Boldrex manufactures industrial chemicals.
  • BS Protsessing manufactures polymer coatings for galvanized rolls.
  • Dzheneral Lubrikants produces specialized lubricants and supplies base oils and additives.
  • Gremlos manufactures coolants for machine tools and lubricating-cooling fluids. 
  • Holv Lubricants Rus LLC manufactures industrial oils, metalworking fluids, and coolants.
  • Limited Liability Company NPF Kaviant produces coolants, industrial oils, lubricants, and adhesives.
  • LLC Sonis supplies and manufactures chemical compositions and additives for metal coatings.
  • Millab Synthesis offers research and technological equipment for chemical synthesis filtration, homogenization, and distillation processes. 
  • Oleokam produces coolants for metal processing.
  • Raketa Lubrikants manufactures lubricating oils, additives for lubricating oils, and antifreezes.
  • Suprim Lubrikants manufactures lubricants used in mining, metallurgy, metalworking, and heavy and light equipment.

Semiconductor and electronics manufacturing, components, and research

The following Russia-based persons were designated pursuant to E.O. 14024 for operating or having operated in the technology sector of the Russian Federation economy:

  • Ai Ti Si Co, Limited Liability Company I T C, and Limited Liability Company ITC repair electronic, optical, and electrical equipment. Russian national Georgii Semenovich Pogiblov is a shareholder of all three companies.
  • Keldysh Institute of Applied Mathematics is an institute within the Russian Academy of Sciences that conducts activities related to the fields of nanotechnology, semiconductors, aerodynamics, and aeroacoustics. 
  • Levin Fotoniks is a manufacturer of instruments and devices for measuring, testing, and navigation, electronic components, and semiconductors. 
  • Limited Liability Company Gulfwind is a supplier of a wide range of electronic components.
  • Limited Liability Company Platan Energo is a leading wholesaler of electronic components in Russia.
  • Limited Liability Company Velesstore is a Russia-based wholesale supplier of computer equipment and electronics.
  • Sovtest ATE is a manufacturer of semiconductor devices, computers, and equipment for microelectronics production.
  • Uniservice Limited Liability Company (Uniservice) is involved in the production of electronic equipment and the manufacturing of information collection and processing devices. OFAC also designated several People’s Republic of China-based entities today that have sent technology to Uniservice.

The following Russia-based entities were designated pursuant to E.O. 14024 for operating or having operated in the manufacturing sector of the Russian Federation economy:

  • Aktsionernoe Obshchestvo Navis Grupp manufactures electronic components and instruments and appliances for measuring, testing, and navigation. 
  • Bee Pitron Limited manufactures wires and cables for electronic and electric equipment.
  • Joint Stock Company Ferropribor manufactures electronic components.
  • Joint Stock Company Lit Phonon manufactures electronic components, semiconductor devices, and quartz products.

Obshchestvo S Ogranichennoi Otvenstvennostyu Ambrella Indastrial (Ambrella Industrial) produces technical products made from precious metals for U.S.-designated Russian military electronic component manufacturerPublic Joint Stock Company Research & Production Corporation Istok Named After AI Shokin (NPP Istok). Ambrella Industrial was designated pursuant to E.O. 14024 for operating or having operated in the metals and mining sector of the Russian Federation economy.

The following Russia-based individuals were designated pursuant to E.O. 14024 for operating or having operated in the electronics sector of the Russian Federation economy:

  • Russia national Anna Yuryevna Luzhanskaya is the owner of U.S.-designated OOO TK Fly Bridge, an electronics wholesaler that has fulfilled contracts for U.S.-designated Russian military electronic component manufacturer NPP Istok and U.S.-designated Engineering Center of Innovative Technologies, a manufacturer of radio electronics and electronic printed circuits. 
  • Russia national Vladislav Vyacheslavovich Kostin (Kostin) is the General Director of U.S.-designated Joint Stock Company VNIIR Progress, a Russian entity involved in the development and production of electronic components. Kostin has received an award for strengthening the Russian armed forces and defense industry. 

Industrial Automation

The following Russia-based entities were designated pursuant to E.O. 14024 for operating or having operated in the technology sector of the Russian Federation economy:

  • Datana develops and implements robotics and artificial intelligence-enabled methods to optimize manufacturing production.
  • K Soft Inzhiniring LLC develops software and hardware for automation components, controller equipment, and input/output subsystems for the industrial automation and engineering markets.
  • Limited Liability Company Fort Dialog, Limited Liability Company Fort Dialog Service, and Limited Liability Company Management Company Fort Dialog (collectively, the Fort Dialog group) repair computers and peripheral equipment, wholesale computers and computer peripheral equipment, and conduct activities related to computer programming and computer consultancy. One of the Fort Dialog group’s IT solutions supports industrial equipment automation.
  • LLC Optimus Drive offers electric drive and industrial automation solutions.
  • Nauchno Proizvodstvennaya Firma Krug creates and supplies industrial automation systems, including control and information systems and software.

The following Russia-based entities were designated pursuant to E.O. 14024 for operating or having operated in the manufacturing sector of the Russian Federation economy:

  • GTS Grupp produces and supplies industrial equipment, automatic control systems, and electric devices.
  • Saratovskii Proizvodstvenno Inzhiniringovyi Tsentr manufactures automatic regulating or controlling instruments.

Optics

The following Russia-based persons were designated pursuant to E.O. 14024 for operating or having operated in the technology sector of the Russian Federation economy:

  • Closed Joint Stock Company Technological Cosmonautika Park Linkos develops and produces thermographic equipment, video surveillance systems, and optoelectronic systems.
  • Joint Stock Company Astronomical Scientific Center develops and operates automated optoelectronic systems.
  • Limited Liability Company Integrated Electron Optical Systems develops devices and components in the field of thermal imaging technology.
  • Limited Liability Company Navigator produces and imports rifle scopes and night vision devices.
  • Limited Liability Company Vladikavkaz Technologikal Center Baspik manufactures microchannel plates for night vision equipment and offers more than 150 optoelectronic components. 
  • LLC Cityimpex sells electronics and optical imagers.
  • Small Innovation Enterprise ISON Ballistics Service (ISON BS) is involved in data processing and computer programming, as well as the manufacture of optical instruments. Russia national Igor Yevgenyevich Molotov is the owner and general director of ISON BS.
  • Special Systems Photonics Limited Liability Company implements technological solutions for Russian photonics enterprises.
  • Yuventa supplies laser equipment to Russian companies.

Russia-based Limited Liability Company Research and Production Company Makrooptika (Makrooptika) is a contractor for Russian defense firms and the Russian Ministry of Defense that manufactures optomechanical systems for aircraft and military equipment. Makrooptika was designated pursuant to E.O. 14024 for operating or having operated in the manufacturing sector of the Russian Federation economy.

Navigational instruments

The following Russia-based entities were designated pursuant to E.O. 14024 for operating or having operated in the manufacturing sector of the Russian Federation economy:

  • Aktsionernoe Obshchestvo Navis Elektronika is involved in the manufacture of instruments and appliances for measuring, testing and navigation, and technical testing and analysis. 
  • Aktsionernoe Obshchestvo Arzamasskiy Priborostroitelnyi Zavod Imeni P I Plandina produces guidance and control systems for anti-aircraft missile systems, on-board electronic computers, and steering drives.   
  • AO KB Navis manufactures navigational systems used by the Russian military, including navigational and positional systems used by Russian special operations forces. 
  • Joint Stock Company Gazprom Space Systems (GSS)designs aerospace monitoring systems. GSS satellites are utilized by the U.S.-designated Russian General Staff Main Intelligence Directorate (GRU) as well as Russian military and paramilitary units.
  • Joint Stock Company Scientific Production Enterprise Radiy manufactures radar equipment, radio navigation devices, and remote-control radio equipment.
  • Joint Stock Company Vremya CH manufactures instruments and appliances for measuring, testing, and navigation.
  • NVS Navigation Technologies Ltd develops, produces, and sells navigation technologies and equipment. 
  • Obshchestvo S Ogranichennoi Otvetstvennostyu Sputnikovye Innovatsionnye Kosmicheskie Sistemy is involved in the manufacture of instruments and appliances for measuring, testing, and navigation. 

Russia-based Limited Liability Company Space Communications (Space Communications) offers complex products related to navigation technologies. Space Communications was designated pursuant to E.O. 14024 for operating or having operated in the technology sector of the Russian Federation economy.

Military-industrial base information technology

The following Russia-based entities were designated pursuant to E.O. 14024 for operating or having operated in the technology sector of the Russian Federation economy:

  • 3data operates a network of premium data centers and its clients include companies in Russia’s manufacturing and construction industries.
  • Ai Teko Inzhiniring designs and constructs IT infrastructure, conducts IT consulting, and develops software. Ai Teko Inzhiniring’s customers include Russian government agencies and large industrial companies.
  • Hash Maker Limited Liability Company (Hash Maker) creates and implements programs for electronic computers, databases, and information systems. Hash Maker is a resident of a Russian special economic zone focused on industrial production and provides residents of that special economic zone with infrastructure services.
  • ICL Electronics Limited Liability Company (ICL Electronics) and ICL Techno Limited Liability Company (ICL Techno) are important players in Russia’s computer hardware and software industries. ICL Electronics provides cloud computing services, business software services, and other software services to clients, including the Russian Ministry of Defense, and equips Russian military bases with hardware and software appliances. ICL Electronics’ subsidiary ICL Techno manufactures computer equipment, including desktops, servers, and data storage systems.
  • Infotech Balakovo Limited Liability Company (Infotech Balakovo) is involved in data processing activities, provision of information hosting services, and computer software development. Infotech Balakovo is a resident of a special economic zone created with the aim of forming a high-tech cluster for the needs of the Russian military-industrial base.
  • Limited Liability Company Inferit manufactures computer equipment and infrastructure software for Russian business and government customers.  
  • Limited Liability Company Safedata is a Russian state-owned enterprise that conducts data processing and hosting activities.
  • LLC Security Code is a developer of software and hardware used for information security systems. LLC Security Code’s clients include the Russian Ministries of Defense and Internal Affairs.
  • Miran LLC designs, constructs, and operates data centers. Miran’s clients include large Russian manufacturing corporations. 
  • MP Limited Liability Company (MP LLC) sells, repairs, and maintains software and hardware systems and computer and IT infrastructure equipment. MP LLC’s clients include companies in the Russian military-industrial complex.
  • NPO Computer develops software products and supports IT solutions for Russian enterprises. NPO Computer’s products and services include an intelligent system for the digitization of processes and documents for large Russian enterprises and government agencies.
  • O2 Klaud operates a data center and provides infrastructure security and network products. 
  • Red Soft is involved in the development of information management systems, software, and IT solutions and services. Red Soft is a member of the Military-Industrial Complex of the Russian Federation Coordination Council for Information Technology.
  • Sirokko Tekhnolodzhi conducts data processing, hosting, and related activities and conducts computer consultancy, computer programming, and other IT and computer service activities.
  • Smart DC Lipetsk Limited Liability Company is a resident of a special economic zone focused on industrial production and is involved in data processing activities, provision of information hosting services, and computer software development.
  • Stack Telecom Ltd operates data centers and provides IT services to large Russian commercial entities and government agencies.
  • T1 Holding provides a full range of IT services for the implementation of high-tech projects.
  • TrustInfo operates one of Russia’s largest data centers and has completed projects for Russian state institutions and industrial enterprises.

Energy storage and power supply for military-industrial base equipment

The following Russia-based entities were designated pursuant to E.O. 14024 for operating or having operated in the manufacturing sector of the Russian Federation economy:

  • Aktsionernoe Obshchestvo Nauchno Issledovatelski Proektno Konstruktorski I Tekhnologicheski Akkumulyatorny Institut Istochnik is involved in the manufacture of batteries and accumulators.
  • Battery Service Limited Liability Company manufactures battery components.
  • Closed Joint Stock Company Erasib manufactures adjustable electric drives, generators, and motors.
  • Geo Hit manufactures electric batteries and accumulators.
  • Joint Stock Company Nevsky Zavod manufactures power equipment, turbines, and pumping units.
  • Klinpauer produces customized lithium-ion batteries.
  • Limited Liability Company Tubor mass-produces starter and traction batteries.
  • Limited Liability Company Velikoluksky Battery Plant Impuls manufactures industrial alkaline and lead-acid batteries. 
  • Obshchestvo S Ogranichennoi Otvetstvennostyu Metalloobrabotka is involved in the manufacture of electric accumulators and batteries.
  • Novgorodskaya Akkumulyatornaya Kompaniya‘s main products are stationary lead-acid batteries and accumulator batteries.
  • OAO Krasnoarmeyskiy Mekhanicheskiy Zavod manufactures components for backup power supplies to enable autonomous power supply for equipment.
  • OOO Alfa Energo specializes in the supply, installation, and servicing of equipment for batteries, inverters, chargers, voltage stabilizers, and gasoline and diesel generators, as well as ventilation and air conditioning systems.
  • Prometheus Limited Trade Development is involved in the manufacture of accumulator batteries. 
  • Sistemy Avtonomnoi Energii specializes in the production of lithium-ion battery systems for electric vehicles.
  • Smart Batteries develops and supplies energy storage and power generation products.

Military-industrial base software

The following Russia-based entities were designated pursuant to E.O. 14024 for operating or having operated in the technology sector of the Russian Federation economy:

  • Auriga Limited Liability Company (Auriga) performs services including software development, testing services, and web development. Auriga’s clients include construction tool and chip manufacturers.
  • Fidesys is a developer of a computer-aided engineering (CAE) software.
  • Genaiti is a software producer, involved in strategic computer technology and software projects. Genaiti’s software is utilized by Russian federal enterprises for data exchange. 
  • Gigant Kompleksnye Sistemy (GKS) manufactures computers and develops computer software. GKS is a resident of a special economic zone focused on technological innovation. 
  • InterCAD Company Limited designs and implements computer-aided design (CAD) systems for major Russian entities, including U.S.-designated Joint Stock Company United Shipbuilding Corporation, Russia’s primary warship manufacturer.
  • Joint Stock Company Research and Production Association Russian Basic Information Technologies develops, produces, and implements information and computer-aided systems, general purpose software, information protection software, and next-generation synthetic combat training software.
  • Keis Studio produces “low code” software platforms, including a platform that develops applications for Russian government ministries and Russia’s industrial sector. 
  • Limited Liability Company Bimeister is a software developer whose partners and clients include a Russian state-owned company and Alabuga Development, an entity involved in a scheme to procure commercial UAVs that would be modernized and weaponized for use by the Russian military.
  • Limited Liability Company IT1, Limited Liability Company GPB IT1, IT1Digital Solutions Limited Liability Company, Limited Liability Company IT1 RTK (IT1 RTK), Limited Liability Company IT1 Solutions, Limited Liability Company IT1 Novations (IT1 Novations), Limited Liability Company Service Platform, Limited Liability Company IT1 Technologies, IT1 Kholding, and Technology Platform Limited Liability Company together comprise the Russia-based software conglomerate IT1 and are each involved in software development activities, including the development and maintenance of information systems for the Russian government and the development of software for Russian government agencies. IT1 Kholding is the owner of the nine other IT1 companies, whose businesses include the development and maintenance of federal state information systems (IT1 RTK), software testing (IT1 Novations), and general software development (all IT1 companies). 
  • Top Systems Ltd. is a developer of CAD, computer-aided manufacturing (CAM), and CAE systems for Russia’s manufacturing industry. 
  • Triangulatica develops software that supports industrial 3D printing systems.

 

Russia’s aerospace sector

The following Russia-based entities were designated pursuant to E.O. 14024 for operating or having operated in the aerospace sector of the Russian Federation economy:

  • Alfalodzhik is an aviation service center and supplies aircraft spare parts.
  • Nizhny Novgorod Joint Stock Company Hydromash Named After V I Luzyanin develops, manufactures, and tests landing gear and hydraulic actuators and units for aircraft. 
  • Obshchestvo S Ogranichennoi Otvetstvennostyu 1A is a supplier of spare parts and equipment for airplanes and helicopters of foreign and domestic manufacture.
  • Vinsaver offers equipment for airplanes, helicopters, and drones.
  • Vostokinterprom Limited Liability Company is involved in the repair and maintenance of aircraft.

Other military-industrial base entities

The following Russia-based entities were designated pursuant to E.O. 14024 for operating or having operated in the technology sector of the Russian Federation economy:

  • Limited Liability Company Avbis is a wholesaler of electrical goods, computers, and software. Avbis also imports equipment used by Russia’s military-industrial base from abroad.
  • Limited Liability Company Smarts Quanttelecom is involved in developing and producing applied devices and quantum informatics systems.
  • Ltd Nissa Distribution is involved in the installation of printing systems and supplies equipment for offset printing technology.
  • Llc Melytec is involved in the production of sensors and computer software development and is also a large supplier of research equipment and services to industrial and research organizations in the fields of material science, chemical and phase analysis, and physical and mechanical testing.
  • Nauchno Tekhnicheskii Tsentr Modul Innovatsii develops hardware and software products in the field of neural networks.
  • Statanly Limited Liability Company develops machine learning, computer vision, data analysis, and artificial intelligence products.

 

The following Russia-based entities were designated pursuant to E.O. 14024 for operating or having operated in the manufacturing sector of the Russian Federation economy:

  • 148SH Limited Trade Development manufactures metal structures.
  • Fawaris Limited Liability Company is a structural metal manufacturer. 
  • Innodrive Limited Liability Company develops and manufactures integrated drives and supplies high-tech drive solutions manufactured in Russia.
  • Kingtaim Khedman Rus manufactures fabricated metal products.
  • Kvalitet manufactures sheet metal housings.
  • Limited Liability Company Resurs manufactures metal products, parts of devices, and turnkey parts and assemblies.
  • Nauchno Proizvodstvennoe Predpriyatie Mikrosistema designs and produces high-efficiency air filters.
  • Public Joint Stock Company Chelyabinsk Forge and Press Plant manufactures a variety of spare parts for special purpose vehicles. 
  • Publichnoe Aktsionernoe Obshchestvo Mechel (Mechel)is Russia’s top producer of specialty steels and manufactures rolled products from various types of steels. A Mechel subsidiary has provided steel that is used in Russia’s KA-52 attack helicopter.
  • Research and Production Center for Automation and Instrumentation Named After Academic NA Pilyugin manufactures control systems and is also involved in the manufacture of weapons.
  • Upravlyayushchaya Kompaniya UZTM Karteks is an association of the largest Russian manufacturers of mining equipment.
  • Vaibos manufactures precision air conditioning systems. In 2023, Vaibos supplied and installed a precision air conditioning system for U.S.-designated Public Joint Stock Company United Aircraft Corporation, a subsidiary of Russia’s main defense conglomerate State Corporation Rostec that develops, produces, sells, modernizes, and repairs military aircraft.
  • Zavod Lipetsktekhnolit manufactures shotblasting equipment and its spare parts.

 

Logistics, cargo transportation, and truck parts

The following Russia-based persons were designated pursuant to E.O. 14024 for operating or having operated in the transportation sector of the Russian Federation economy:

  • Asian Trade Agency Limited Liability Company provides imports to Russia, customs clearance services, and deliveries to buyers’ warehouses. 
  • Closed Joint Stock Company Special Transportation Services is a Russian transportation company which ships goods for Russian banks, chemical and defense enterprises, and producers of precious metals and stones.
  • Instar Lodzhistiks OOO (Instar) is a logistics company engaged in transportation services. Instar was previously designated pursuant to E.O. 13661 for acting or purporting to act for or on behalf of, directly or indirectly, Kalashnikov Concern, an entity whose property and interest in property are blocked pursuant to E.O. 13661. Kalashnikov Concern, Russia’s largest firearms producer, was also previously designated pursuant to E.O. 14024.
  • Intermost Logistics East Co Ltd offers cargo transportation within Russia and custom clearance services. 
  • JSC SUEK (SUEK) is a flagship company of Russian transportation logistics that operates its own railway infrastructure and is involved in trucking and other transportation services. The Russian Ministry of Defense is one of SUEK’s largest customers.
  • Kordeli is involved in road freight transport, warehousing and storage, and cargo handling. 
  • Limited Liability Company Pitersnab is a supplier of spare parts for Russian trucks. 
  • Limited Liability Company Sfinks Secure Logistics provides secure transportation services for Russian banks and government agencies.
  • Russia national Mikhail Yuryevich Chepurnoi is the general director of U.S.-designated Russian transportation company Elfor TL
  • Obltransterminal is a railway container terminal operator that provides customs clearance, import, and export services.
  • Oksi Balt is involved in cargo handling, freight transport by road, and warehousing and storage services.
  • OOO Logfortra offers a full range of cargo transportation services, including by road, sea, air, and rail. 
  • Postavshchik Dalnego Vostoka provides storage and delivery services. 
  • TBSS Limited Liability Company is a multimodal transportation and forwarding company involved in the transportation of valuable goods such as precious metals.
  • TK Logimeks provides international cargo shipping services. 

MKC Group

Russia-based Limited Liability Company Group of Companies MKC (MKC Group) is an engineering enterprise focused on the turnkey construction of power objects. Russia national Maksim Aleksandrovich Zagornov (Zagornov) is the CEO of MKC Group.

MKC Group and Zagornov were designated pursuant to E.O. 14024 for operating or having operated in the engineering sector of the Russian Federation economy. 

Diamonds

Joint Stock Company Foreign Economic Association Almazyuvelirexport (Almazyuvelirexport) is Russia’s state-owned exporter of rough and polished diamonds and precious metals. 

Almazyuvelirexport was designated pursuant to E.O. 14024 for operating or having operated in the metals and mining sector of the Russian Federation economy.

ANNEX 3

SANCTIONS EVASION, CIRCUMVENTION, AND BACKFILL

People’s Republic of China-based technology suppliers

The following People’s Republic of China-based (PRC-based) entities were designated pursuant to E.O. 14024 for operating or having operated in the technology sector of the Russian Federation economy:

  • PRC-based company Jiangxi Liansheng Technology Co., Ltd shipped microelectronics, optical laboratory accessories, and other technological equipment to Russia.
  • PRC-based company Guangzhou Ausay Technology Co., Limited has made hundreds of shipments of foreign origin-microelectronics to U.S.-designated Limited Liability Company SMT-iLogic (SMT-iLogic), a Russia-based technology company involved in a large-scale procurement network to obtain foreign-origin technology for the manufacture of Orlan UAVs.
  • PRC-based company Guangzhou Hesen Import and Export Co., Ltd has made dozens of shipments of foreign-origin microelectronics to Russian technology company Uniservice, which was also designated today.
  • PRC-based company Yilufa Electronics Limited has made hundreds of shipments of foreign origin-microelectronics to SMT-iLogic and Uniservice.
  • PRC-based company Shenzhen Biguang Trading Co., Ltd has made hundreds of shipments of foreign origin-microelectronics to SMT-iLogic and Uniservice.
  • PRC-based company New Idea Guangzhou Technology Co., Ltd. has made hundreds of shipments of foreign origin-microelectronics to SMT-iLogic and Uniservice.

Diegelmann Illicit Finance Network

Rheingold Edelmetall AG is a Liechtenstein-based precious metals investment firm owned and directed by German nationals Axel Paul Diegelmann (Axel) and Fritz Diegelmann (Fritz). Axel and Rheingold Edelmetall AG have collaborated with Russia-based metals companies to disguise the origin of Russian precious metals. Axel, Fritz, and Rheingold Edelmetall AG also assisted Russian clients to launder funds by buying and selling precious metals for cash, illicitly circumventing international sanctions. Rheingold Edelmetall AG took steps to obfuscate the ownership of Russian clients and the beneficiaries of these transactions. Additionally, German national Bernd Guenter Diegelmann (Bernd), a UAE-based employee of Rheingold Edelmetall AG, arranged the sale of Russian precious stones in the UAE. 

Rheingold Edelmetall AG, Axel, and Fritz were designated pursuant to E.O. 14024 for operating or having operated in the metals and mining sector of the Russian Federation economy. Axel and Fritz were also designated pursuant to E.O. 14024 for being or having been leaders, officials, senior executive officers, or members of the board of directors of Rheingold Edelmetall AG. Bernd was designated pursuant to E.O. 14024 for having materially assisted, sponsored, or provided financial, material, or technological support for, or goods or services to or in support of, Rheingold Edelmetall AG.

Germany-based Rheingold Edelmetall GmbH is a wholly-owned subsidiary of Rheingold Edelmetall AG. Rheingold Edelmetall GmbH was designated pursuant to E.O. 14024 for being owned or controlled by, or having acted or purported to act for or on behalf of, directly or indirectly, Rheingold Edelmetall AG.

Liechtenstein-basedprecious metals investment firm and storage company Liemeta AG is owned by Axel. Liemeta AG was designated pursuant to E.O. 14024 for being owned or controlled by, or having acted or purported to act for or on behalf of, directly or indirectly, Axel.

Freight forwarder involved in weapons shipments

Russia-based PJSC Transcontainer (Transcontainer) is an intermodal container operator that offers military transportation services to the Russian armed forces and has played a role in the illicit transshipment of North Korean munitions and weapons systems for use on the battlefield in Ukraine. Transcontainer is also the operator of a new rail terminal at SEZ Alabuga, and its leadership was part of a Russian delegation that visited Iran in 2023.

Transcontainer was designated pursuant to E.O. 14024 for operating or having operated in the defense and related materiel sector of the Russian Federation economy.

Serbia-based technology exporters

Serbia-based Kominvex DOO Beograd (Kominvex) has exported tens of millions of dollars’ worth of goods and equipment to Russian electronics companies. Serbia national Marko Svorcan (Svorcan) is the director and owner of Kominvex.

Serbia-based Soha Info DOO Novi Banovci (Soha Info) has exported millions of dollars’ worth of dual-use electronics to Russia. Serbia national Dragan Dragas (Dragas) is the director and owner of Soha Info.

Serbia-based Goodforwarding DOO Beograd (Goodforwarding) has made hundreds of shipments to Russia since February 24, 2022, including of electronic goods necessary for the production of missiles, drones, and munitions.

Serbia-based Research and Development Company TR Industries (TR Industries) specializes in the development of electronic radio equipment, intelligence optoelectronic systems, and navigation systems. TR Industries has sent items such as integrated circuits and multilayer ceramic capacitors to Russia. The main recipient of shipments from TR Industries was Russia-based Arteks Limited Company (Arteks), which is involved in the wholesale of machine tools, installation of machines and equipment, and repair of equipment. 

Kominvex, Svorcan, Soha Info, Dragas, and TR Industries, were designated pursuant to E.O. 14024 for operating or having operated in the technology sector of the Russian Federation economy. Goodforwarding was designated pursuant to E.O 14024 for operating or having operated in the transportation sector of the Russian Federation economy. Arteks was designated pursuant to E.O 14024 for operating or having operated in the manufacturing sector of the Russian Federation economy. 

Third-country manufacturing and technology equipment suppliers

Russia-based Limited Liability Company Pumori Northwest (Pumori Northwest) is a major provider of metalworking equipment and machine tools to the Russian defense industry. Estonia-based Gold Solution OU (Gold Solution) has transported European-origin machine tools and spare parts to Pumori Northwest and other metalworking machine suppliers that support Russia’s military-industrial base. 

Pumori Northwest was designated pursuant to E.O. 14024 for operating or having operated in the manufacturing sector of the Russian Federation economy. Gold Solution was designated pursuant to E.O. 14024 for having materially assisted, sponsored, or provided financial, material, or technological support for, or goods or services to or in support of, Pumori Northwest.

Ireland-based semiconductor supplier Cubit Semiconductor Limited (Cubit) has made dozens of shipments of sensitive electronic components to U.S.-designated Joint Stock Company Mikron, Russia’s largest microelectronics manufacturer, including after its designation in March 2022. 

EU- and U.S.-designated Limited Liability Company AK Microtech, a Russia-based firm that specializes in transferring foreign semiconductor technology to Russian microelectronics production companies, including entities that provide microelectronics to the Russian defense industry, has used Vietnam-based Inand Industries Co Ltd (Inand Industries) to procure European-made equipment for Russian military-industrial base end-users. 

Cubit and Inand Industries were designated pursuant to E.O. 14024 for operating or having operated in the technology sector of the Russian Federation economy.

Third-country aircraft and truck parts suppliers

Russia-based Aktsionernoe Obshchestvo Avia Fed Service (Avia Fed Service) supplies spare parts and equipment to aviation companies and aircraft manufacturers, including the Russian Ministry of Defense and Russian state-owned defense companies. UAE-based Linker FZE (Linker) exports aviation spare parts and electronic components used to repair Russian military aircraft and helicopters and has made at least almost 150 shipments to Russia—primarily to Avia Fed Service—since February 2022.

Kyrgyz Republic-based Obshchestvo S Ogranichennoy Otvetstvennostyu Ukon (Ukon) has sent aircraft components and U.S.-origin aircraft parts in violation of U.S. export control regulations to Russia-based end-users. Azerbaijan national Mehti Gafar Zada (Gafar Zada) is the CEO of Ukon. OFAC’s action against Ukon and Gafar Zada is the result of close and ongoing collaboration with the Bureau of Industry and Security (BIS) and Customs and Border Protection (CBP).

Finland-based HD Parts OY has made thousands of shipments of spare parts since 2022, making it one of the largest foreign suppliers of truck parts to Russian companies. Trucks are critical for the Russian military, and Russia suffers from a shortage of truck spare parts.

Avia Fed Service, Linker, Ukon, and Gafar Zada were designated pursuant to E.O. 14024 for operating or having operated in the aerospace sector of the Russian Federation economy.

HD Parts OY was designated pursuant to E.O. 14024 for operating or having operated in the transportation sector of the Russian Federation economy.

ANNEX 4

RUSSIA’S FINANCIAL INFRASTRUCTURE 

The following Russia-based banks were designated pursuant to E.O. 14024 for operating or having operated in the financial services sector of the Russian Federation economy:

  • Avangard Joint Stock Bank is a bank headquartered in Moscow, Russia.
  • Bank RostFinance is a bank headquartered in Rostov-on-Don, Russia.
  • Joint Stock Commercial Bank Chelindbank is a bank headquartered in Chelyabinsk, Russia.
  • Joint Stock Commercial Bank International Financial Club is a bank headquartered in Moscow, Russia. 
  • Joint Stock Commercial Bank Modulbank is a bank headquartered in Kostroma, Russia. 
  • Joint Stock Company Databank is a bank headquartered in Izhevsk, Russia.
  • Maritime Joint Stock Bank Joint Stock Company is a bank headquartered in Moscow, Russia.
  • Public Joint Stock Company Bystrobank is a bank headquartered in Izhevsk, Russia.
  • Public Joint Stock Company SPB Bank is a bank headquartered in Moscow, Russia.

The following Russia-based investment firms and venture capital funds were designated pursuant to E.O. 14024 for operating or having operated in the financial services sector of the Russian Federation economy:

  • Limited Liability Company BSF Capital provides investment banking services, venture investments, fund management, and handles large assets.
  • Limited Liability Company Investment Consultant Elbrus Capital is an investment firm. 
  • Limited Liability Company Orbita Capital Partners is a fund management company.
  • Nonprofit Organization Investment and Venture Fund of the Republic of Tatarstan provides loans and grants and finances technological and industrial projects. 
  • Obshchestvo S Ogranichennoi Otvetstvennostyu Guard Kapital invests in Russian information technology companies.

The following Russia-based fintech companies were designated pursuant to E.O. 14024 for operating or having operated in the technology sector of the Russian Federation economy:

  • Finansovye Informatsionnye Sistemy develops information systems for the financial sector.
  • Joint Stock Company Quorum develops financial software.
  • Limited Liability Company Crypto Pro develops cryptographic software and public key infrastructure solutions. 
  • Obshchestvo S Ogranichennoi Otvetstvennostyu Faktor TS produces software and hardware for cryptographic protection of information.
  • Obshchestvo S Ogranichennoi Otvetstvennostyu Sistemy Prakticheskoi Bezopasnosti develops software for secure systems.
  • Obshchestvo S Ogranichennoi Otvetstvennostyu Validata designs and produces secure corporation information systems.

SANCTIONS IMPLICATIONS

As a result of today’s 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 blocked persons are prohibited unless authorized by a general or specific license issued by OFAC, or 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. 

In addition, foreign financial institutions that conduct or facilitate significant transactions or provide any service involving Russia’s military-industrial base run the risk of being sanctioned by OFAC. Examples of activities that could expose foreign financial institutions to sanctions risk under E.O. 14024, as amended, are maintaining accounts, transferring funds, or providing other financial services (i.e., payment processing, trade finance, insurance) for any persons designated for operating in the specified sectors or for any persons, either inside or outside Russia, that support Russia’s military-industrial base, including those that operate in the specified sectors of the Russian Federation economy.  For additional guidance, please see the December 22, 2023 OFAC Sanctions Advisory as well as OFAC Frequently Asked Questions (FAQs) 1146-1157.

The power and integrity of OFAC sanctions derive not only from OFAC’s ability to designate and add persons to the SDN List, but also from its willingness to remove persons from the SDN List consistent with the law. The ultimate goal of sanctions is not to punish, but to bring about a positive change in behavior. For information concerning the process for seeking removal from an OFAC list, including the SDN List, please refer to OFAC’s Frequently Asked Question 897 here. For detailed information on the process to submit a request for removal from an OFAC sanctions list, please click here.

For identifying information on the individuals and entities sanctioned today, click here

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Official news published at https://home.treasury.gov/news/press-releases/jy2117

- Part of VUGA -USA media group