The US Department of the Treasury's Office of Foreign Assets Control (OFAC) has expanded its list of Specially Designated Nationals subject to sanctions related to Russia's invasion of Ukraine, to now include Alrosa Aviakompania (6R, Mirnyj) and SberLeasing.
The airline is sanctioned given it is a wholly-owned subsidiary of Alrosa, a state-owned diamond mining giant which controls some 28% of the global diamond market. OFAC underlined that the designation covered all Alrosa subsidiaries in which it holds more than 50% stakes.
Alrosa Aviakompania has, until now, not been singled out for sanctions, although it is subject to sweeping restrictions imposed on the Russian aviation sector. As the US prohibits the export of any goods or services to Russian airlines, so any foreign entity providing services such as air traffic control, refuelling or handling would be in violation of the sanctions.
The carrier operates two B737-700s (both Irish-registered) and four B737-800s (three Irish- and one Russian-registered). Only the -800 registered in Russia, RA-73264 (msn 32659), is currently active and does not operate abroad.
The inclusion of SberLeasing, a wholly-owned subsidiary of Sberbank, expands earlier sanctions imposed on the lessor through the Correspondent Account or Payable-Through Account (CAPTA). The latter effectively prohibits the bank and its subsidiaries from executing any transactions in US dollars but does not criminalise doing business with Sberbank as such. Therefore, with its inclusion on the SDN list, any dealings with the bank or the lessor, regardless of transacted currency, would violate US sanctions.
