The U.S. Treasury recently announced sanctions against a Russian citizen and three Russia-based companies for attempting to bypass U.S. sanctions in a scheme that could have resulted in over $1.5 billion of frozen assets belonging to Russian metals tycoon Oleg Deripaska being unfrozen. Deripaska, who was himself placed under U.S. sanctions in April 2018, made a fortune in metals trading following the collapse of the Soviet Union. The Treasury stated that in June 2023, Deripaska collaborated with Russian citizen Dmitrii Beloglazov, the owner of the Russia-based financial services firm Titul, on a planned transaction to sell Deripaska’s frozen shares in a European company.
Subsequently, a Russia-based financial services firm named Aktsionernoe Obshchestvo Iliadis was established as a subsidiary of Titul, and in early 2024, Iliadis acquired a Russia-based investment holding company known as Rasperia. Rasperia holds the frozen shares of Deripaska. As a result of these actions, sanctions were imposed on Beloglazov, Titul, and Iliadis for operating in Russia’s financial services sector, while Rasperia was sanctioned for being owned or controlled by Iliadis, or acting on its behalf. These measures were taken by the Treasury to prevent the evasion of U.S. sanctions and to maintain pressure on entities attempting to circumvent them through deceptive practices.
Deripaska’s extensive business dealings and attempts to evade existing sanctions highlight the complex and ever-evolving nature of international sanctions enforcement. By sanctioning individuals and companies involved in schemes to subvert sanctions, the U.S. Treasury aims to deter such activities and maintain the effectiveness of its punitive measures. The case of Deripaska and his associates underscores the importance of vigilance in monitoring and addressing attempts to evade sanctions, particularly in high-stakes financial transactions involving significant assets.
The sanctions imposed on Beloglazov, Titul, Iliadis, and Rasperia serve as a warning to other entities engaging in similar activities of the potential consequences of evading U.S. sanctions. The Treasury’s actions demonstrate its commitment to enforcing sanctions against individuals and organizations that seek to circumvent them through deceptive practices. By targeting key players involved in schemes to evade sanctions, the U.S. government aims to disrupt illicit financial activities and uphold the integrity of the sanctions regime.
The case of Oleg Deripaska and the entities involved in the scheme to unfreeze his assets highlight the global reach and impact of U.S. sanctions policies. As the Treasury continues to crack down on individuals and companies attempting to evade sanctions, the effectiveness of punitive measures in deterring illicit financial activities becomes increasingly evident. By targeting key players in such schemes, the U.S. government aims to maintain the integrity of its sanctions regime and prevent the circumvention of existing punitive measures. The sanctions imposed on Deripaska and his associates underscore the ongoing efforts to hold accountable those who seek to undermine international sanctions.
