The Russia, Crimea and Sevastopol (Sanctions) (Overseas Territories) (Amendment) Order 2015 (S.I. 2015/213)

Summary

This Order in Council amends the Russia, Crimea and Sevastopol (Sanctions) (Overseas Territories) Order 2014 as it applies in specified UK Overseas Territories, including the British Virgin Islands. It implements further EU-derived restrictive measures against Russia and against Crimea and Sevastopol, expanding existing prohibitions and creating several new criminal offences relating to investment, trade in goods and technology, and services.

• New investment ban: Creates a new offence of knowingly acquiring or extending ownership of real estate or entities in Crimea or Sevastopol, providing financing, creating joint ventures there, or providing related investment services (new article 5).
• Goods and technology: Replaces 'equipment' with 'goods' and Annex III references with Annex II in article 6, broadening prohibited exports to Crimea/Sevastopol to cover transport, telecommunications, energy, and oil/gas/mineral exploration sectors.
• Infrastructure services ban: New article 6A makes it an offence to knowingly provide technical assistance, brokering, construction or engineering services relating to infrastructure in Crimea or Sevastopol in the transport, telecommunications, energy, or oil/gas/mineral sectors.
• Tourism services ban: New article 6B makes it an offence to provide services directly related to tourism activities in Crimea or Sevastopol, including facilitating cruise ships calling at listed ports.
• Russia trade and assistance: Amends articles 7 to 11 to broaden restrictions on export, technical assistance, financial assistance and brokering relating to dual-use goods, restricted goods, and items for exploration and production projects in Russia.
• Loan and credit restrictions: Updates article 12 to change the relevant date to 11 March 2015 and adds new carve-outs for emergency funding loans and pre-existing drawdown arrangements.
• Licensing and exemptions: Amends article 13 to extend Governor licensing exemptions to the new articles 6A and 6B and to certain humanitarian, medical, consular and safety-related activities.

The Order does not create ongoing compliance regimes for licensed financial entities as such, but imposes direct criminal offences and notification duties on any person carrying out the specified activities in relation to Russia, Crimea or Sevastopol. It came into force on 11 March 2015.

Key obligations

• A person must not knowingly acquire, extend or invest in ownership of real estate or entities in Crimea or Sevastopol, or provide related financing or investment services, except under specified exemptions.
• Where a pre-11 March 2015 contract exemption is relied on for articles 5 and 6B activities, the Governor must be informed at least five working days in advance of executing the contract.
• Under article 6(4), execution of pre-11 March 2015 contracts for goods covered by article 6 is only permitted until 21 June 2015, with five working days' advance notice to the Governor.
• Under new article 6A, execution of pre-11 March 2015 infrastructure-related contracts is only permitted until 21 June 2015.
• A person must not knowingly provide technical assistance, brokering, construction or engineering services relating to infrastructure in Crimea or Sevastopol in the transport, telecommunications, energy or oil/gas/mineral sectors, except within permitted transitional limits.
• A person must not knowingly provide services directly related to tourism activities in Crimea or Sevastopol, including arranging cruise ship calls at listed ports, except under specified exemptions; emergency maritime safety exceptions require notifying the Governor within five working days.
• A service provider carrying out exploration and production project activities in Russia under article 9(2) or (3) must notify the Governor within five working days of the start of that activity.
• A person must not knowingly provide assistance relating to sale, supply, transfer, export, maintenance, use or manufacture of listed items or dual-use/restricted goods to persons in or for use in Russia, except under specified licensing exemptions.

Applies to

persons and entities engaging in investment or transactions in Crimea or Sevastopol, exporters and suppliers of goods and technology to Russia or for use in Russia, service providers to oil exploration and production projects in Russia, providers of technical, financial or brokering assistance relating to Russia, Crimea or Sevastopol, providers of infrastructure-related technical, construction or engineering services in Crimea or Sevastopol, tourism service providers and cruise ship operators in relation to Crimea or Sevastopol, lenders and credit providers to entities connected with Russia

Deadlines

• 11th March 2015: Order comes into force; also the reference date before which contracts may qualify for transitional exemptions.
• 21st June 2015: Deadline for completing execution of pre-11 March 2015 contracts under the transitional exemptions in amended article 6(4) and new article 6A(2).
• five working days: Advance notice to the Governor required before relying on certain contract-execution exemptions under articles 5, 6 and 6B.
• five working days: Notification to the Governor required after the start of an exempted exploration/production service activity under article 9(4), or after an emergency ship entry under article 6B(2)(a).

Related documents

• The Sanctions (Overseas Territories) (Revocations) Order 2020 repeals this document