Denied Party Digest

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BIS Adds 91 to Entity List for Support to Russian Military

As sanctions on Russia continue to increase, on March 9, 2022, the Department of Commerce's Bureau of Industry and Security (BIS) published a rule (87 FR 13141) adding ninety-one entries to the Entity List effective March 3, 2022.

The Entity List, which is found in Supplement No. 4 to Part 744 of the Export Administration Regulations (EAR), includes both individuals and entities involved in “activities that are contrary to the national security or foreign policy interests of the United States.”  Listed entities are subject to license requirements for EAR-controlled items (including EAR99 or other items that would otherwise be shipped No License Required, or NLR), typically with a presumption of denial.  License exceptions are not available for exports, reexports, or transfers to the entities.

The new ninety-one entries were determined by the U.S. government to "have been involved in, contributed to, or otherwise supported the Russian security services, military and defense sectors, and military and/or defense research and development efforts."

For the new entries, the listing creates a license requirement for the export or reexport/retransfer of all items subject to the EAR.  Licenses will be reviewed under a policy of denial, with limited exceptions for five entities related to space cooperation.

The new members of the Entity List are located in:

  • Belize
  • Estonia
  • Kazakhstan
  • Latvia
  • Malta
  • Russia
  • Singapore
  • Slovakia
  • Spain
  • United Kingdom

With entities listed in countries outside of Russia (and especially several NATO and EU members), this is a reminder of the importance of screening parties in all countries.

BIS also published a press release on this action.