American Businesses Will Break All Contracts with Sanctioned Russian Companies

Photo from Ukrinform–UATV


The United States Treasury Department mandated all American businesses to suspend contracts and arrangements with Russian companies and organizations that were identified in the latest wave of U.S. sanctions against Russia.

This is stated in two official documents released by the Office of Foreign Assets Control (OFAC) of the Department of Treasury, Ukrinform reported.

In particular, the Treasury Department obliged all American companies to end all transactions and interactions with sanctioned Russian companies, including the EN+ Group, the GAZ Group and the United Company Rusal, by midday on May 7.

Another document issued on Friday by the OFAC stressed the need to cancel contracts and agreements by June 5 with 12 Russian organizations that were subject to sanctions. Among them are: AgroHolding Kuban, Basic Element Ltd, B-Finance Ltd, EN+ Group, EuroSibEnergo, GAZ Group, Gazprom Burenie, Ladoga Management, NPV Engineering, Renova Group, Russian Machines Corporation, United Company Rusal. In addition, it is prohibited to have relations with any organization that has 50 percent or more shares in the listed companies.

On April 6, the U.S. Treasury Department extended the list of sanctioned Russian businessmen and government officials. The sanctions will affect seven Russian oligarchs and 12 companies they own or control, 17 senior Russian government officials, and a state-owned Russian weapons trading company and its subsidiary, a Russian bank.