The US Department of the Treasury’s Office of Foreign Assets Control (OFAC) sanctioned on Monday thirteen entities and two individuals, among them one based in Cyprus, for operating in the financial services and technology sectors of the Russian Federation economy including persons developing or offering services in virtual assets that enable the evasion of U.S. sanctions.
A press release by the US Department of the Treasury’s Office says that five entities were designated for being owned or controlled by OFAC-designated persons.
It adds that many of the individuals and entities designated facilitated transactions or offered other services that helped OFAC-designated entities evade sanctions. These designations build upon OFAC’s February 23, 2024 action to target companies servicing Russia’s core financial infrastructure and curtail Russia’s use of the international financial system to further its war against Ukraine, it notes.
The list includes Tokentrust Holdings Ltd., based in Cyprus, which is the major
ity shareholder of Atomaiz and was designated pursuant to E.O. 14024 for operating or having operated in the financial services sector of the Russian Federation economy.
‘Russia is increasingly turning to alternative payment mechanisms to circumvent U.S. sanctions and continue to fund its war against Ukraine,’ said Under Secretary of the Treasury for Terrorism and Financial Intelligence, Brian E. Nelson adding that “Treasury will continue to expose and disrupt the companies that seek to help sanctioned Russian financial institutions reconnect to the global financial system.’
It is noted that on February 24, 2024, the G7 Leaders reaffirmed their commitment to step up efforts against the evasion and circumvention of G7 sanctions and export control measures.
The companies designated by OFAC on Monday have all either helped build or operate blockchain-based services for, or enabled virtual currency payments in, the Russian financial sector, thus enabling potential sanctions evasion, it says.
Source: Cyprus N
ews Agency
