Archives: Export Controls & Sanctions

Subscribe to Export Controls & Sanctions RSS Feed

US Export Controls Workshop – “The ITAR ‘Virus’ Continues to EARvolve!” – Stratford-Upon-Avon, UK – July 23-25, 2018

Our Aerospace & Defense Group is pleased to partner once again with EGADD and Strategic Shipping Company Ltd to host the upcoming “The ITAR ‘Virus’ Continues to EARvolve!” US Export Controls Workshop in Stratford-Upon-Avon, UK, Monday, July 23 – Wednesday, July 25, 2018. 2018 welcomes the 11th anniversary of the workshop.… Continue Reading

European Commission Starts Consultations on Its Guidelines for “Specially Designed for Military Use” Under the Transfer Directive

Directive 2009/43/EC (so-called the “Transfer Directive”) regulates terms and conditions of the transfer of defense-related products within the EU. According to the Transfer Directive, products are subject to licensing requirements to the extent they are “specially designed for military use”. The European Commission, in close cooperation with member states, has undertaken an initiative to clarify the scope of the term “specially designed … Continue Reading

OFAC Amends and Reissues North Korea Sanctions Regulations

On 1 March, the Office of Foreign Assets Control (OFAC) announced the amendment and reissuance in its entirety of the North Korea Sanctions Regulations, 31 C.F.R. part 510. These regulations were updated to reflect and incorporate the North Korea-related executive orders issued in recent years and additional changes to North Korea-related laws, specifically the North Korea Sanctions and Policy Enhancement … Continue Reading

EU Adopts New Embargo and Sanctions Against Myanmar

The Council of the EU imposed new EU sanctions on Myanmar. The EU prohibited exports of dual-use goods for military and Border Guard Police end-users, and introduced restrictions on exports of equipment for monitoring communications that might be used for internal repression. Further, the Council of the EU froze assets of natural persons from the Myanmar Armed Forces (Tatmadaw) and … Continue Reading

BIS Denial Order Against ZTE

Effective 15 April 2018 until 23 March 2025, the US Department of Commerce Bureau of Industry and Security (BIS) imposed a denial order of export privileges against Zhongxing Telecommunications Equipment Corporation of Shenzhen, China (ZTE Corporation) and ZTE Kangxun Telecommunications Ltd. of Hi-New Shenzhen, China (ZTE Kangxun) (collectively, ZTE). Additionally, both entities were added to the BIS Denied Persons List, … Continue Reading

European Commission Published the Updated List of Competent Authorities Under the Kimberley Process, Including Venezuela

The EU updated the list of national authorities participating in the Kimberley Process certification scheme for trade in rough diamonds. The list also includes the competent authorities of Venezuela that were readmitted to participate in this scheme. (Commission Implementing Regulation (EU) 2018/578)… Continue Reading

UK Company Fined Six-figure Sum for Illegal Exports

An unnamed UK company has recently been fined £109,312.50 for making unlicensed exports of military goods controlled by the Export Control Order 2008. The fine was issued by Her Majesty’s Revenue and Customs (HMRC), which is responsible for enforcing UK export control legislation in collaboration with the Crown Prosecution Service. The fine is an example of HMRC using its powers … Continue Reading

OFAC Issues New Russia-/Ukraine-related Designations

On 6 April, the Office of Foreign Assets Control (OFAC) designated seven Russian oligarchs, 12 companies they own or control, 17 senior Russian government officials and a state-owned Russian weapons trading company and its subsidiary, a Russian bank, pursuant to Executive Order 13661, 13662 and the Countering America’s Adversaries Through Sanctions Act (CAATSA). According to the US Department of Treasury, … Continue Reading

UK Issues Guidance on Application of the “Cryptography Note”

The UK has issued guidance to assist exporters to make their own assessment on the application of the “Cryptography Note” – Note 3 to Category 5 Part 2, Information Security as it appears in Annex I to Council Regulation (EC) No. 428/2009 (as last amended by Regulation (EU) No. 2268/2017). Products that use cryptography are usually controlled under the … Continue Reading

EU Amends Sanctions Against Egypt

The Council of the EU has extended the application of its sanctions against persons responsible for the misappropriation of state funds of Egypt. The sanctions are in force until 22 March 2019. In addition, the Council of the EU has decided to delist six individuals from the list of affected persons. (Council Decision (CFSP) 2018/466 and Council Implementing Regulation … Continue Reading

EU Prolongs and Simultaneously Amends Its Sanctions in Relation to Bosnia and Herzegovina

The Council of the EU has decided to extend the EU restrictive measures concerning the situation in Bosnia and Herzegovina, including the asset freezes, until 31 March 2019 (Council Decision (CFSP) 2018/459). In addition, the EU has decided to lift a travel ban on persons who were involved in violent incidents in Mostar on 10 February 1997 (Council Decision (CFSP) … Continue Reading

President Trump Issues Executive Order 13827

On 19 March, the President issued Executive Order (EO) 13827, Taking Additional Steps to Address the Situation in Venezuela. This EO prohibits US persons from engaging in all transactions related to, provision of financing for and other dealings in any digital currency, digital coin or digital token that was issued by, for or on behalf of the government of Venezuela … Continue Reading

EU Prolongs Validity of Certain Sanctions Enforced in Relation to the Situation in the Ukraine

The Council of the EU has extended the validity of the sanctions against persons involved in the misappropriation of Ukrainian State funds, or persons responsible for human rights violations in Ukraine, and natural or legal persons, entities or bodies associated with them. The sanctions remain in force until 6 March 2019. (Council Decision (CFSP) 2018/333 and Council Implementing Regulation (EU) … Continue Reading

EU Amends the Scope of Sanctions Against the Central African Republic

In order to implement the UN Security Council resolution of 30 January 2018, the Council of the EU has amended the scope of the exemptions to the embargo on exports of arms to the Central African Republic (CAR). In addition, the EU has amended the criteria for designation of persons and entities under the CAR-related sanctions. (Council Decision (CFSP) … Continue Reading

UK Amends the Consolidated List of Strategic Military and Dual-use Items

On 5 March 2018, the Export Council Joint Unit (ECJU) of the UK Department for International Trade updated the Consolidated Control List of Strategic Military and Dual-use Items that Require Export Authorisation. The updated list notably takes into account changes made to Schedule 2 of the Export Control Order 2008, which lists the military goods, software and technology subject to … Continue Reading

OFAC Announces Settlement with DENTSPLY SIRONA INC.

On 6 December 2017, OFAC announced a settlement agreement for US$1,220,400 with DENTSPLY SIRONA INC. (DSI), a US company incorporated in Delaware, the successor in interest to DENTSPLY International Inc. (DII), in connection with 37 violations of the Iranian Transactions and Sanctions Regulations between November 2009 and July 2012. According to the OFAC press release, … Continue Reading

OFAC Releases CAATSA Reports to Congressional Committees

On 29 January 2018, OFAC announced that it released five reports to Congressional Committees pursuant to the Countering America’s Adversaries Through Sanctions Act of 2017 (CAATSA). The reports include (1) Section 241: Report on Senior Foreign Political Figures and Oligarchs in the Russian Federation; (2) Section 104(e): Report on Contributions to Iran’s Ballistic Missile Program; … Continue Reading

OFAC Announces New North Korea-Related Designations

On 24 January 2018, OFAC designated nine entities, 16 individuals and six vessels “in response to North Korea’s ongoing development of weapons of mass destruction (WMD) and continued violations of United Nations Security Council Resolutions”. The designations “target agents of the Kim regime financing or otherwise supporting North Korea’s WMD programs and other illicit businesses”.… Continue Reading

OFAC Announces New Iran-Related Designations

On 4 January 2018, OFAC designated five Iran-based entities “subordinate to a key element of Iran’s ballistic missile program”. OFAC designated these entities pursuant to EO 13382 for being owned or controlled by Iran’s Shahid Bakeri Industrial Group (SBIG). The SBIG is listed in the Annex to EO 13382 and is currently sanctioned by the … Continue Reading
LexBlog