U.S. Senator Asks Treasury for Sanctions Briefing on Deripaska
25 Dec 2020

The top Democrat on the Senate Banking Committee, Sherrod Brown, has asked the U.S. Treasury Department for a briefing about allegations that Russian billionaire Oleg Deripaska continued to influence day-to-day activities of United Co. Rusal International PJSC and whether those activities would violate a 2018 sanctions relief deal.

Brown made the request after Bloomberg News reported that European officials had provided information to the U.S. government indicating that Deripaska continued to exert control this year over Rusal, one of the world’s largest aluminum producers. The officials said Deripaska used company resources and employees to support his personal business interests and the political agenda of the Kremlin around the world.

“Senator Brown is very concerned about the allegations,” a spokeswoman for Brown said in an emailed statement. “We have asked to be briefed by the Treasury Department on the allegations, whether any of these activities violate the 2018 sanctions delisting agreement, and if so what penalties might be applied.”

A Treasury spokesman declined to comment.

The U.S. sanctioned Deripaska and six other Russian oligarchs in April 2018 for their roles in supporting what Treasury Secretary Steven Mnuchin called the Kremlin’s “malign activity around the globe,” including the occupation of Crimea, support for the Syrian regime of Bashar al-Assad and attempts to subvert Western democracies.

Markets Roiled

In addition to individual measures, the U.S. sanctioned several of Deripaska’s companies, including Rusal and its parent company EN+ Group International PJSC. The move roiled metals markets, prompting Treasury officials to rethink the blacklisting. Sanctions on three companies were lifted under a deal reached in late 2018 that called for the companies to ensure that the oligarch would reduce his ownership and relinquish control. Mnuchin said the companies would be subject to ongoing monitoring and would face severe consequences if they failed to comply with the deal. Personal sanctions on Deripaska remained in place.

By Stephanie Baker, Bloomberg, 23 December 2020

Read more at Bloomberg

Photo (cropped and edited): World Economic Forum – Michael Wuertenberg, CC BY-SA 2.0, via Wikimedia Commons

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