Rule2023-05649

Publication of Russian Harmful Foreign Activities Sanctions Regulations Web General Licenses 8E, 58, and 59

Primary source

Metadata and text below are from the Federal Register, a public-domain U.S. government work. Always verify the official published version before relying on it for any legal matter.

Published
March 21, 2023

Issuing agencies

Treasury DepartmentForeign Assets Control Office

Abstract

The Department of the Treasury's Office of Foreign Assets Control (OFAC) is publishing three general licenses (GLs) issued pursuant to the Russian Harmful Foreign Activities Sanctions Regulations: GLs 8E, 58, and 59, each of which was previously made available on OFAC's website.

Full Text

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<title>Federal Register, Volume 88 Issue 54 (Tuesday, March 21, 2023)</title>
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[Federal Register Volume 88, Number 54 (Tuesday, March 21, 2023)]
[Rules and Regulations]
[Pages 16887-16889]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2023-05649]


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DEPARTMENT OF THE TREASURY

Office of Foreign Assets Control

31 CFR Part 587


Publication of Russian Harmful Foreign Activities Sanctions 
Regulations Web General Licenses 8E, 58, and 59

AGENCY: Office of Foreign Assets Control, Treasury.

ACTION: Publication of web general licenses.

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SUMMARY: The Department of the Treasury's Office of Foreign Assets 
Control (OFAC) is publishing three general licenses (GLs) issued 
pursuant to the Russian Harmful Foreign Activities Sanctions 
Regulations: GLs 8E, 58, and 59, each of which was previously made 
available on OFAC's website.

DATES: GLs 8E, 58, and 59 were issued on December 15, 2022. See 
SUPPLEMENTARY INFORMATION for additional relevant dates.

FOR FURTHER INFORMATION CONTACT: OFAC: Assistant Director for 
Licensing, 202-622-2480; Assistant Director for Regulatory Affairs, 
202-622-4855; or Assistant Director for Sanctions Compliance & 
Evaluation, 202-622-2490.

SUPPLEMENTARY INFORMATION:

Electronic Availability

    This document and additional information concerning OFAC are 
available on OFAC's website: <a href="http://www.treas.gov/ofac">www.treas.gov/ofac</a>.

Background

    On December 15, 2022, OFAC issued GLs 8E, 58, and 59 to authorize 
certain transactions otherwise prohibited by the Russian Harmful 
Foreign Activities Sanctions Regulations, 31 CFR part 587. Each GL was 
made available on OFAC's

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website (<a href="http://www.treas.gov/ofac">www.treas.gov/ofac</a>) when it was issued. GL 8E had an 
expiration date of May 16, 2023, but was superseded by the issuance of 
GL 8F on February 24, 2023. GLs 58 and 59 have an expiration date of 
March 15, 2023. The text of these GLs is provided below.

OFFICE OF FOREIGN ASSETS CONTROL

Russian Harmful Foreign Activities Sanctions Regulations

31 CFR Part 587

GENERAL LICENSE NO. 8E

Authorizing Transactions Related to Energy

    (a) Except as provided in paragraph (c) of this general license, 
all transactions prohibited by Executive Order (E.O.) 14024 involving 
one or more of the following entities that are related to energy are 
authorized, through 12:01 a.m. eastern daylight time, May 16, 2023:
    (1) State Corporation Bank for Development and Foreign Economic 
Affairs Vnesheconombank;
    (2) Public Joint Stock Company Bank Financial Corporation Otkritie;
    (3) Sovcombank Open Joint Stock Company;
    (4) Public Joint Stock Company Sberbank of Russia;
    (5) VTB Bank Public Joint Stock Company;
    (6) Joint Stock Company Alfa-Bank;
    (7) Public Joint Stock Company Rosbank;
    (8) Any entity in which one or more of the above persons own, 
directly or indirectly, individually or in the aggregate, a 50 percent 
or greater interest; or
    (9) the Central Bank of the Russian Federation.
    (b) For the purposes of this general license, the term ``related to 
energy'' means the extraction, production, refinement, liquefaction, 
gasification, regasification, conversion, enrichment, fabrication, 
transport, or purchase of petroleum, including crude oil, lease 
condensates, unfinished oils, natural gas liquids, petroleum products, 
natural gas, or other products capable of producing energy, such as 
coal, wood, or agricultural products used to manufacture biofuels, or 
uranium in any form, as well as the development, production, 
generation, transmission, or exchange of power, through any means, 
including nuclear, thermal, and renewable energy sources.
    (c) This general license does not authorize:
    (1) Any transactions prohibited by Directive 1A under E.O. 14024, 
Prohibitions Related to Certain Sovereign Debt of the Russian 
Federation;
    (2) The opening or maintaining of a correspondent account or 
payable-through account for or on behalf of any entity subject to 
Directive 2 under E.O. 14024, Prohibitions Related to Correspondent or 
Payable-Through Accounts and Processing of Transactions Involving 
Certain Foreign Financial Institutions;
    (3) Any debit to an account on the books of a U.S. financial 
institution of the Central Bank of the Russian Federation; or
    (4) Any transactions otherwise prohibited by the Russian Harmful 
Foreign Activities Sanctions Regulations, 31 CFR part 587 (RuHSR), 
including transactions involving any person blocked pursuant to the 
RuHSR other than the blocked persons described in paragraph (a) of this 
general license, unless separately authorized.
    (d) Effective December 15, 2022, General License No. 8D, dated 
November 10, 2022, is replaced and superseded in its entirety by this 
General License No. 8E.

    Note to General License No. 8E.  This authorization is valid 
until May 16, 2023 unless renewed.

Andrea M. Gacki,

Director, Office of Foreign Assets Control.

    Dated: December 15, 2022.

OFFICE OF FOREIGN ASSETS CONTROL

Russian Harmful Foreign Activities Sanctions Regulations

31 CFR Part 587

GENERAL LICENSE NO. 58

Authorizing the Wind Down and Rejection of Transactions Involving 
Public Joint Stock Company Rosbank

    (a) Except as provided in paragraph (c) of this general license, 
all transactions prohibited by Executive Order (E.O.) 14024 that are 
ordinarily incident and necessary to the wind down of transactions 
involving Public Joint Stock Company Rosbank, or any entity in which 
Public Joint Stock Company Rosbank owns, directly or indirectly, a 50 
percent or greater interest (``Rosbank entities''), are authorized 
through 12:01 a.m. eastern daylight time, March 15, 2023, provided that 
any payment to a Rosbank entity is made into a blocked account in 
accordance with the Russian Harmful Foreign Activities Sanctions 
Regulations, 31 CFR part 587 (RuHSR).
    (b) Except as provided in paragraph (c) of this general license, 
U.S. persons are authorized to reject, rather than block, all 
transactions prohibited by E.O. 14024 that are ordinarily incident and 
necessary to the processing of funds involving one or more Rosbank 
entities as an originating, intermediary, or beneficiary financial 
institution, through 12:01 a.m. eastern daylight time, March 15, 2023.
    (c) This general license does not authorize:
    (1) Any transactions prohibited by Directive 2 under E.O. 14024, 
Prohibitions Related to Correspondent or Payable-Through Accounts and 
Processing of Transactions Involving Certain Foreign Financial 
Institutions;
    (2) Any debit to an account on the books of a U.S. financial 
institution of the Central Bank of the Russian Federation, the National 
Wealth Fund of the Russian Federation, or the Ministry of Finance of 
the Russian Federation; or
    (3) Any transactions otherwise prohibited by the RuHSR, including 
transactions involving any person blocked pursuant to the RuHSR other 
than the blocked persons described in paragraph (a) of this general 
license, unless separately authorized.

Andrea M. Gacki,
Director, Office of Foreign Assets Control.

    Dated: December 15, 2022.

OFFICE OF FOREIGN ASSETS CONTROL

Russian Harmful Foreign Activities Sanctions Regulations

31 CFR Part 587

GENERAL LICENSE NO. 59

Authorizing Transactions Related to Debt or Equity of, or Derivative 
Contracts Involving, Public Joint Stock Company Rosbank

    (a) Except as provided in paragraphs (d) and (e) of this general 
license, all transactions prohibited by Executive Order (E.O.) 14024 
that are ordinarily incident and necessary to the divestment or 
transfer, or the facilitation of the divestment or transfer, of debt or 
equity of Public Joint Stock Company Rosbank (Rosbank), or any entity 
in which Rosbank owns, directly or indirectly, a 50 percent or greater 
interest (``covered debt or equity''), to a non-U.S. person are 
authorized through 12:01 a.m. eastern daylight time, March 15, 2023.
    (b) Except as provided in paragraph (e) of this general license, 
all transactions prohibited by E.O. 14024 that are ordinarily incident 
and necessary to facilitating, clearing, and settling trades of covered 
debt or equity that were placed prior to 4:00 p.m. eastern standard 
time, December 15,

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2022, are authorized through 12:01 a.m. eastern daylight time, March 
15, 2023.
    (c) Except as provided in paragraph (e) of this general license, 
all transactions prohibited by E.O. 14024 that are ordinarily incident 
and necessary to the wind down of derivative contracts entered into 
prior to 4:00 p.m. eastern standard time, December 15, 2022, that (i) 
include a blocked person described in paragraph (a) of this general 
license as a counterparty or (ii) are linked to covered debt or equity 
are authorized through 12:01 a.m. eastern daylight time, March 15, 
2023, provided that any payments to a blocked person are made into a 
blocked account in accordance with the Russian Harmful Foreign 
Activities Sanctions Regulations, 31 CFR part 587 (RuHSR).
    (d) Paragraph (a) of this general license does not authorize:
    (1) U.S. persons to sell, or to facilitate the sale of, covered 
debt or equity to, directly or indirectly, any person whose property 
and interests in property are blocked; or
    (2) U.S. persons to purchase or invest in, or to facilitate the 
purchase of or investment in, directly or indirectly, covered debt or 
equity, other than purchases of or investments in covered debt or 
equity ordinarily incident and necessary to the divestment or transfer 
of covered debt or equity as described in paragraph (a) of this general 
license.
    (e) This general license does not authorize:
    (1) Any transactions prohibited by Directive 2 under E.O. 14024, 
Prohibitions Related to Correspondent or Payable-Through Accounts and 
Processing of Transactions Involving Certain Foreign Financial 
Institutions;
    (2) Any debit to an account on the books of a U.S. financial 
institution of the Central Bank of the Russian Federation, the National 
Wealth Fund of the Russian Federation, or the Ministry of Finance of 
the Russian Federation; or
    (3) Any transactions otherwise prohibited by the RuHSR, including 
transactions involving any person blocked pursuant to the RuHSR other 
than the blocked persons described in paragraph (a) of this general 
license, unless separately authorized.

Andrea M. Gacki,
Director, Office of Foreign Assets Control.

    Dated: December 15, 2022.
Andrea M. Gacki,
Director, Office of Foreign Assets Control.
[FR Doc. 2023-05649 Filed 3-20-23; 8:45 am]
BILLING CODE 4810-AL-P


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Indexed from Federal Register on March 21, 2023.

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