From:
Code of Federal Regulations
Title 31-Money and Finance: Treasury
Subtitle B-Regulations Relating to Money and Finance
Chapter V-Office of Foreign Assets Control, Department of the Treasury
Part 589-Ukraine-/Russia-Related Sanctions Regulations
Subpart A – Relation of This Part to Other Laws and Regulations
§ 589.101 Relation of this part to other laws and regulations.
This part is separate from, and independent of, the other parts of this chapter, with the exception of part 501 of this chapter, the record keeping and reporting requirements and license application and other procedures of which apply to this part. Actions taken pursuant to part 501 of this chapter with respect to the prohibitions contained in this part are considered actions taken pursuant to this part. Differing foreign policy and national security circumstances may result in differing interpretations of similar language among the parts of this chapter. No license or authorization contained in or issued pursuant to those other parts authorizes any transaction prohibited by this part. No license or authorization contained in or issued pursuant to any other provision of law or regulation authorizes any transaction prohibited by this part. No license or authorization contained in or issued pursuant to this part relieves the involved parties from complying with any other applicable laws or regulations.
Subpart B – Prohibitions
§ 589.201 Prohibited transactions.
(a) All property and interests in property that are in the United States, that come within the United States, or that are or come within the possession or control of any U.S. person of the following persons are blocked and may not be transferred, paid, exported, withdrawn, or otherwise dealt in:
(1) Executive Order (E.O.) 13660. Any person determined by the Secretary of the Treasury, in consultation with the Secretary of State:
(i) To be responsible for or complicit in, or to have engaged in, directly or indirectly, any of the following:
(A) Actions or policies that undermine democratic processes or institutions in Ukraine;
(B) Actions or policies that threaten the peace, security, stability, sovereignty, or territorial integrity of Ukraine; or
(C) Misappropriation of state assets of Ukraine or of an economically significant entity in Ukraine;
(ii) To have asserted governmental authority over any part or region of Ukraine without the authorization of the Government of Ukraine;
(iii) To be a leader of an entity that has, or whose members have, engaged in any activity described in paragraph (a)(1)(i) or (ii) or of an entity whose property and interests in property are blocked pursuant to this paragraph (a)(1);
(iv) To have materially assisted, sponsored, or provided financial, material, or technological support for, or goods or services to or in support of, any activity described in paragraph (a)(1)(i) or (ii) or any person whose property and interests in property are blocked pursuant to this paragraph (a)(1);
(v) To be owned or controlled by, or to have acted or purported to act for or on behalf of, directly or indirectly, any person whose property or interests in property are blocked pursuant to this paragraph (a)(1);
(2) E.O. 13661 Annex. The persons listed in the Annex to E.O. 13661 of March 16, 2014;
(3) E.O. 13661. Any person determined by the Secretary of the Treasury, in consultation with the Secretary of State:
(i) To be an official of the Government of the Russian Federation;
(ii) To operate in the arms or related materiel sector in the Russian Federation;
(iii) To be owned or controlled by, or to have acted or purported to act for or on behalf of, directly or indirectly:
(A) A senior official of the Government of the Russian Federation; or
(B) A person whose property or interests in property are blocked pursuant to paragraph (a)(2) of this section or this paragraph (a)(3); or
(iv) To have materially assisted, sponsored, or provided financial, material, or technological support for, or goods or services to or in support of:
(A) A senior official of the Government of the Russian Federation; or
(B) A person whose property or interests in property are blocked pursuant to paragraph (a)(2) of this section or this paragraph (a)(3);
§ 589.202 Prohibited transactions with respect to the financial services sector of the Russian Federation economy (Directive 1).
The following activities by a U.S. person or within the United States are prohibited:
(a) For new debt or new equity issued on or after July 16, 2014 and before September 12, 2014, all transactions in, provision of financing for, and other dealings in new debt of longer than 90 days maturity or new equity of persons determined to be subject to this section, their property, or their interests in property;
(b) For new debt or new equity issued on or after September 12, 2014 and before November 28, 2017, all transactions in, provision of financing for, and other dealings in new debt of longer than 30 days maturity or new equity of persons determined to be subject to this section, their property, or their interests in property; and
(c) For new debt or new equity issued on or after November 28, 2017, all transactions in, provision of financing for, and other dealings in new debt of longer than 14 days maturity or new equity of persons determined to be subject to this section, their property, or their interests in property.
§ 589.203 Prohibited transactions with respect to financing activities in the energy sector of the Russian Federation economy (Directive 2).
The following activities by a U.S. person or within the United States are prohibited:
(a) For new debt issued on or after July 16, 2014 and before November 28, 2017, all transactions in, provision of financing for, and other dealings in new debt of longer than 90 days maturity of persons determined to be subject to this section, their property, or their interests in property; and
(b) For new debt issued on or after November 28, 2017, all transactions in, provision of financing for, and other dealings in new debt of longer than 60 days maturity of persons determined to be subject to this section, their property, or their interests in property.
§ 589.204 Prohibited transactions with respect to the defense and related materiel sector of the Russian Federation economy (Directive 3).
All transactions in, provision of financing for, and other dealings in new debt of longer than 30 days maturity of persons determined to be subject to this section, their property, or their interests in property by a U.S. person or within in the United States are prohibited.
§ 589.205 Prohibited transactions with respect to oil-producing activities in the energy sector of the Russian Federation economy (Directive 4).
The following activities by a U.S. person or within the United States are prohibited: The provision, exportation, or re-exportation, directly or indirectly, of goods, services (except for financial services), or technology in support of exploration or production for deep water, Arctic offshore, or shale projects:
(a) That have the potential to produce oil in the Russian Federation, or in maritime area claimed by the Russian Federation and extending from its territory, and that involve any person determined to be subject to this section, their property, or their interests in property; or
(b) That are initiated on or after January 29, 2018, that have the potential to produce oil in any location, and in which any person determined to be subject to this section, their property, or their interests in property has a 33 percent or greater ownership interest, or ownership of a majority of the voting interests.
§ 589.206 Prohibited new investment in the Crimea region of Ukraine.
Except as otherwise authorized, new investment, as defined in § 589.326, in the Crimea region of Ukraine by a United States person, wherever located, is prohibited.
§ 589.207 Prohibited exportation, re-exportation, sale, or supply of goods, services, or technology to the Crimea region of Ukraine.
Except as otherwise authorized, the exportation, re-exportation, sale, or supply, directly or indirectly, from the United States, or by a United States person, wherever located, of any goods, services, or technology to the Crimea region of Ukraine is prohibited.
§ 589.208 Prohibited importation of goods, services, or technology from the Crimea region of Ukraine.
Except as otherwise authorized, the importation into the United States, directly or indirectly, of any goods, services, or technology from the Crimea region of Ukraine is prohibited.
§ 589.209 Prohibitions or strict conditions with respect to correspondent or payable-through accounts of foreign financial institutions that have knowingly facilitated certain significant transactions.
§ 589.210 Effect of transfers violating the provisions of this part.
§ 589.211 Holding of funds in interest-bearing accounts; investment and reinvestment.
§ 589.212 Expenses of maintaining blocked tangible property; liquidation of blocked property.
§ 589.213 Evasions; attempts; causing violations; conspiracies.
§ 589.214 Exempt transactions.
§ 589.215 Prohibited facilitation.
Except as otherwise authorized, U.S. persons, wherever located, are prohibited from approving, financing, facilitating, or guaranteeing a transaction by a foreign person where the transaction by that foreign person would be prohibited by § 589.206, § 589.207, or § 589.208 of this part if performed by a U.S. person or within the United States.
Subpart C – General Definitions
§ 589.300 Applicability of definitions.
The definitions in this subpart apply throughout the entire part.
Subpart E – Licenses, Authorizations, and Statements of Licensing Policy
§ 589.501 General and specific licensing procedures.
For provisions relating to licensing procedures, see part 501, subpart E, of this chapter. Licensing actions taken pursuant to part 501 of this chapter with respect to the prohibitions contained in this part are considered actions taken pursuant to this part. General licenses and statements of licensing policy relating to this part also may be available through the Ukraine-/Russia-Related Sanctions page on OFAC’s website: www.treas.gov/ofac.
Subpart F – Reports
§ 589.601 Records and reports.
For provisions relating to required records and reports, see part 501, subpart C, of this chapter. Record keeping and reporting requirements imposed by part 501 of this chapter with respect to the prohibitions contained in this part are considered requirements arising pursuant to this part.
Subpart G – Penalties and Findings of Violation
§ 589.701 Penalties.
(a) Section 206 of the International Emergency Economic Powers Act (50 U.S.C. 1705) (IEEPA) is applicable to violations of the provisions of any license, ruling, regulation, order, directive, or instruction issued by or pursuant to the direction or authorization of the Secretary of the Treasury pursuant to this part or otherwise under IEEPA.
[Remainder of text online]
Subpart H – Procedures
§ 589.801 Procedures.
For license application procedures and procedures relating to amendments, modifications, or revocations of licenses; administrative decisions; rulemaking; and requests for documents pursuant to the Freedom of Information and Privacy Acts (5 U.S.C. 552 and 552a), see part 501, subpart E, of this chapter.
Information from www.uscode.house.gov and other public sources.
DemocracyWars is a non-affiliated, non-partisan educational and advocacy project for the 100M+ Centrist, Independent, Unaffiliated voters outraged by the January 6, 2021, attempted Coup, and other wrongs by the extremist Left and Right, against our government and democracy. We are not beholden to Red or Blue, but to unite in our own PURPLE POWER!!
Please Support our Mission is to Investigate, Educate and Advocate for the Centrist majority of voters who have been ignored and lied to for so long by the extremist LEFT AND THE RIGHT.
PURPLE POWER!! The DemocracyWars Mission and Fight: Wrongs against us will be Righted. Our Rights will be Restored. The Criminals Convicted. ATTACK! ATTACK! ATTACK! Never Give Up. Never surrender to the political criminals again. The 2022 midterm PURPLE POWER election success was just the first skirmish in the long battle ahead. Please Support Our Mission!!
