Council Regulation (EU) 2023/426 of 25 February 2023 amending Regulation (EU) No 269/2014 concerning restrictive measures in respect of actions undermining or threatening the territorial integrity, sovereignty and independence of Ukraine

Council Regulation (EU) 2023/426 relating to sanction measures in view of Russia’s actions to undermine and threaten the „territorial integrity, sovereignty and independence of Ukraine“ was published in the Official Journal (OJ) of the EU. The regulation modifies Articles 6b, 6e, and 8 of Council Regulation (EU) No 269/2014 relating to same issue to
(1) permit certain derogations from asset freezing measures stipulated in the 2014 regulation. Specifically, new Council Regulation (EU) 2023/426 stipulates that EU member states may release frozen funds of or make available funds to entity #101 which refers to the National Settlement Depository (NSD) so long as such measure is for the winding down (disposal or transfer) of securities transactions of EU entities currently or previously controlled by VTB Bank (entity #82) and so long as the winding down takes place before July 25, 2023 for contracts or operations concluded before June 3, 2022.
EU member states may also release frozen funds of or make available funds to entity #190 referring to the Limited Liability Company “Commercial Vehicles – GAZ Group”, if such measure is necessary for the wind down of contracts and agreements of and with the entity by August 26, 2023 that were concluded before February 25, 2023.
Additionally, a possible derogation from asset freezing measures or the making available of funds noted under Article 6b(3) of the 2014 regulation for purposes of the completion of „the sale and transfer of proprietary rights in a legal person, entity or body established in the Union“ is extended up to May 31, 2023.
Furthermore, EU member states may also release frozen funds of or make available funds to the following entities used for purposes of purchasing, importing, or transporting“ agricultural and food products, including wheat and fertilisers“. Entries #198, #199, and #200 were thereby added:
– Entry # 53 – Bank Rossiya, Saint Petersburg
– Entry # 54 – PROMSVYAZBANK, Moscow
– Entry # 55 – VEB.RF, Moscow
– Entry # 79 – Otkritie FC Bank, Moscow
– Entry # 80 – Novikombank, Moscow
– Entry # 81 – Sovcombank, Moscow
– Entry # 82 – VTB Bank, Moscow
– Entry # 108 – Sberbank, Moscow
– Entry # 126 – Credit Bank of Moscow
– Entry # 127 – JSC ‘DALNEVOSTOCHNIY BANK
– Entry # 198 – Alfa-Bank JSC
– Entry # 199 – Public joint-stock company Rosbank
– Entry # 200 – Tinkoff Bank JSC
(2) oblige persons and entities in the EU to report to national competent authorities (NCAs) any fund transfers of subsequently frozen funds that took place two weeks prior to the inclusion of an entity on the EU sanctions list contained in the 2014 regulation and to require the reporting of frozen funds thereafter.
(3) oblige central securities depositories (CSDs) to report to NCAs any information on securities that are subject to asset freezing measures at the time the measure is implemented.
(4) specify the information that must be provided to NCAs in this context, including information on the value of the securities or funds, the types of securities (if applicable), identifying information on the owner, the date of asset freezing, etc.