New Russia Sanctions: 42 People, 21 Entities

Summary#

These are final amendments to the Special Economic Measures (Russia) Regulations (SOR/2023-191). They add 42 individuals and 21 entities to Canada’s sanctions list related to Russia’s invasion of Ukraine. The amendments took effect on September 20, 2023 and were published in the Canada Gazette on October 11, 2023.

What it does#

• Adds 42 individuals and 21 entities to Schedule 1 of the Special Economic Measures (Russia) Regulations.
• Those added are subject to a broad dealings ban (an effective asset freeze): people in Canada and Canadians abroad generally cannot deal with their property, provide services to them, or make goods available to them.
• The listings target three broad groups:
  • people and organizations linked to the forcible transfer or adoption of children from occupied Ukrainian territory (actors tied to child transfers);
  • media, think tanks and related groups described as involved in Russian state disinformation and propaganda; and
  • companies and institutions in Russia’s nuclear sector that are said to support the state and its activities in Ukraine.
• Names added will appear on the Consolidated Canadian Autonomous Sanctions List so banks and others can screen for them.

Who's affected#

• The 42 individuals and 21 entities named in the amendment (listed in Schedule 1).
• Canadian and foreign banks, financial institutions and businesses that must screen and block transactions with listed parties.
• Government agencies that enforce sanctions, including Global Affairs Canada, the Royal Canadian Mounted Police (RCMP) and the Canada Border Services Agency (CBSA).
• It is unclear from the notice how many of the newly listed people or entities have ties to Canada; the government says those links are likely limited.

Why it matters#

• The change increases legal and financial pressure on people and groups that Canada says are involved in child transfers, disinformation, or support for Russia’s nuclear sector in the context of the war in Ukraine.
• For most ordinary Canadians the immediate effect is small: banks and businesses must update their screening systems and refuse prohibited dealings.
• Breaking the rules can lead to criminal penalties: on summary conviction a fine up to $25,000 or up to one year in jail (or both), and on indictment up to five years in prison.
• The amendments are part of Canada’s broader effort to align with allies and increase costs on actors tied to Russia’s actions in Ukraine.