The Bureau of Industry and Security this week signed an “agreement” with the Office of Foreign Assets Control to improve coordination among the two agencies’ export control and sanctions enforcement teams, said Matthew Axelrod, the top BIS export enforcement official. The agreement will help in “formalizing our close coordination and partnership,” Axelrod said during a July 26 Society for International Affairs conference, according to a copy of his speech emailed by BIS.

The U.S. announced a host of new Russia-related sanctions and export controls last week, including more than 300 sanctions designations by the Treasury and State departments and an expansion of Commerce Department export controls on items destined to Russia and entities supporting the country’s military. The measures, some of which were coordinated with allies as part of the Group of 7 summit in Japan, aim to “further undermine Russia’s capacity to wage its illegal aggression” in Ukraine, the G-7 countries said in a May 19 joint statement.

An influx of delisting requests spurred by the rapid pace of sanctions against Russia could strain already limited resources at the Treasury Department, former officials and lawyers said, increasing fears that removal efforts will be overlooked even as law firms see an uptick in business.

New York lawyer Robert Wise pleaded guilty to participating in a scheme to make around $3.8 million in payments to maintain six real properties in the U.S. owned by sanctioned Russian oligarch Viktor Vekselberg. Wise pleaded guilty to one count of conspiring to commit international money laundering and faces a maximum of five years in prison, DOJ said April 25. He also forfeited more than $3.7 million and agreed "to be satisfied" by a $210,441 payment.

The Office of Foreign Assets Control sanctioned one person and several entities involved in a sanctions evasion network that has helped Iran procure electronic parts for its unmanned aerial vehicles program. The designations target Mehdi Khoshghadam, the head of the sanctioned Pardazan System Namad Arman, along with several front companies based in Iran, Malaysia, Hong Kong and China, OFAC said April 19. Those companies are “suppliers that have enabled PASNA’s procurement of goods and technology,” including Amv AJ Nilgoun Bushehr, PASNA International, Arttronix International, Jotrin Electronics, Vohom Technology and Yinke Electronics.

The Office of Foreign Assets Control this week sanctioned 52 people and entities working as part of a “vast” international money laundering and sanctions evasion network for Hezbollah financier and Specially Designated Global Terrorist Nazem Said Ahmad (see 1912130023). The designations target companies in Lebanon, the United Arab Emirates, South Africa, Angola, Côte d’Ivoire, the Democratic Republic of the Congo, Belgium, the U.K. and Hong Kong for helping Ahman avoid U.S. restrictions and finance his “luxurious lifestyle,” OFAC said.

The U.S. this week warned ship owners and service providers of new “deceptive practices” being used by Russia to evade the oil price cap, particularly for oil exported through the Eastern Siberia Pacific Ocean (ESPO) pipeline and ports on the eastern coast of Russia. Shippers, traders and others should watch for several red flags to avoid helping Russia evade the cap, the Office of Foreign Assets Control said in an April 17 alert.

The U.S. this week announced new Russia-related trade restrictions, adding 28 entities to the Commerce Department’s Entity List and more than 100 entries to the Treasury Department’s Specially Designated Nationals List. The measures target people and companies either operating in Russia, aiding the country’s war against Ukraine or helping Moscow evade sanctions.

Trade lawyers are expecting a sharp increase in DOJ export control and sanctions prosecutions in the coming months as the agency’s Counterintelligence and Export Control Section undergoes a hiring spree, and several law firms said the increased attention on sanctions violations may cause some companies to bolster their compliance programs.

The Office of Foreign Assets Control this week announced a host of new Iran-related sanctions, including new designations against a “shadow banking” network aiding Iranian entities and new sanctions against a network of Chinese companies with ties to the country's unmanned drone industry. The designations target 39 entities illegally allowing Iranian companies to access the international financial system and a network of five companies supporting Iran’s unmanned aerial vehicle procurement efforts.