Sanctions: 17 Individuals, 18 Entities Added

Summary#

These final regulations — Regulations Amending the Special Economic Measures (Russia) Regulations: SOR/2023-93 — add 17 individuals and 18 entities to Canada’s list of people and organisations subject to sanctions. The change took effect on May 18, 2023 and means the listed people and groups face a broad ban on dealings with anyone in Canada.

What it does#

• Adds 17 named individuals and 18 named entities to Schedule 1 of the Special Economic Measures (Russia) Regulations.
• Triggers a broad ban on dealings with those listed persons. That includes blocking access to property, and prohibiting transactions, services or making goods available to them from Canada.
• The names will be published on the Consolidated Canadian Autonomous Sanctions List so banks and others can screen for them.
• Enforcement and compliance are handled by Royal Canadian Mounted Police and the Canada Border Services Agency.
• Penalties for knowingly breaking the rules include a fine of up to $25,000 or imprisonment up to one year on summary conviction, and up to five years on indictment.

Who's affected#

• The newly listed individuals and entities — described in the government notice as senior managers in Russian military and nuclear-related companies, some Kremlin-affiliated people, and family members of listed persons. (The Gazette item gives full names and company names.)
• Canadian banks and financial institutions, which must update screening systems and block prohibited dealings.
• Canadian businesses or people who had, or planned to have, dealings with those listed entities or individuals.
• Global Affairs Canada is the department that manages and explains these measures.

Why it matters#

• For the listed people and companies, Canada’s measures cut off access to Canadian financial services and most business with Canada.
• For Canadians and Canadian businesses, the practical effect is mostly administrative: banks and compliance teams must screen and block transactions, which can add minor costs or delays.
• Politically, the amendments are part of Canada’s effort to increase economic pressure on Russia and align with allies responding to the invasion of Ukraine.
• The real-world intent is to reduce the ability of listed Russian actors to support military operations by limiting their international financing, goods, and services.