UK sanctions Russia's second richest man

• Oligarch Vladimir Potanin, Russia’s second richest man and key supporter of the Kremlin, sanctioned
• Anna Tsivileva, Putin’s cousin and president of major Russian company, also sanctioned
• New measures ensure that oligarchs cannot use UK trusts services

The UK Government has today (Wednesday 29 June) announced new sanctions, hitting Putin’s inner circle.

Amongst those sanctioned is Vladimir Potanin – Russia’s second richest man and owner of major conglomerate Interros. Potanin continues to amass wealth as he supports Putin’s regime, acquiring Rosbank, and shares in Tinkoff Bank in the period since Russia’s invasion of Ukraine.

Anna Tsivileva, Putin’s cousin and President of the prominent Russian coal mining company, JSC Kolmar Group, has also been sanctioned. Tsivileva’s husband Sergey Tsivilev is Governor of the coal rich Kemerovo region and the couple have significantly benefitted from their relationship to Putin. JSC Kolmar Group is also being sanctioned today.

A Government Spokesperson said:

“As long as Putin continues his abhorrent assault on Ukraine, we will use sanctions to weaken the Russian war machine. Today’s sanctions show that nothing and no one is off the table, including Putin’s inner circle.”

The UK government is also sanctioning a group of Russian individuals and companies for their involvement in repressing civilians and supporting the Assad regime in Syria – exposing Russia’s malign activity across the globe.

The UK government is also acting alongside international allies to introduce new measures that will prevent Russia from accessing UK trusts services. These services, which allow a person or business to manage the assets of another, are another major element of the UK’s world-class financial services sector that Russia will no longer be able to use.

Throughout Putin’s war of choice, international partners have stood side by side with Ukraine and used sanctions to punish his abhorrent invasion and Governments and businesses alike are turning their backs on Russia. The UK has sanctioned more than 1,000 people and over 120 businesses since Putin’s invasion of Ukraine and three quarters of foreign companies have reduced operations in Russia - nearly a quarter of which have completely withdrawn.

Russian imports have dropped over 40% since the invasion and stockpiles of vital imported manufacturing components are likely to be depleted in the next three to six months.

Car production is also down by 60% and Russia’s own Transport Minister has admitted that Russia’s logistical infrastructure is now “broken” as a result of sanctions.

ENDS

BACKGROUND

Asset freeze

An asset freeze prevents any UK citizen, or any business in the UK, from dealing with any funds or economic resources which are owned, held or controlled by the designated person. UK financial sanctions apply to all persons within the territory and territorial sea of the UK and to all UK persons, wherever they are in the world. It also prevents funds or economic resources being provided to or for the benefit of the designated person

Travel ban

A travel ban means that the designated person must be refused leave to enter or to remain in the United Kingdom, providing the individual is an excluded person under section 8B of the Immigration Act 1971.

Transport sanctions

Recently introduced powers make it a criminal offence for any Russian aircraft to fly or land in the UK, and give the government powers to remove aircraft belonging to designated Russian individuals and entities from the UK aircraft register, even if the sanctioned individual is not on board. Russian ships are also banned from UK ports.

SANCTION PROFILES

• Vladimir Potanin is Russia’s second richest Oligarch, with an estimated net worth of £13 billion. Potanin is also Chairman, founder and owner of Interros, a major conglomerate with stakes in energy, mining, and finance. He recently acquired Rosbank from Societe Generale. Potanin is obtaining a benefit from or supporting the Government of Russia by owning or controlling Rosbank. Rosbank is carrying on business in the Russian financial services sector, which is a sector of strategic significance to the Government of Russia. Potanin is subject to a travel ban, asset freeze, transport sanction and prohibition of technical assistance relating to aircraft. 
• Said Gutseriev is and has been involved in obtaining a benefit from or supporting the Government of Russia by owning or controlling and working as a member of the Board of Directors of PJSC SFI, an asset management firm carrying on business in the Russian financial services sector. This is a sector of strategic significance to the Government of Russia. He is subject to an asset freeze, transport sanction and prohibition of technical assistance relating to aircraft. 
• Sait-Salam Gutseriev is involved in obtaining a benefit from or supporting the Government of Russia by owning or controlling and working as Head of the Board of Directors of JSC NK Neftisa, an oil firm carrying on business in the energy sector. This is a sector of strategic significance to the Government of Russia. He is subject to a travel ban and asset freeze.
• JSC Kolmar Group is a Russian coal mining and processing company that is carrying on business in sectors of strategic significance to the Government of Russia, namely the Russian extractives and energy sectors. Therefore, JSC Kolmar Group is or has been involved in obtaining a benefit from or supporting the Government of Russia. JSC Kolmar is a business with ties to Putin, owned by Anna Tsivileva and already sanctioned Gennady Timchenko. JSC Kolmar Group is subject to an asset freeze. 
• Anna Tsivileva is Putin’s first cousin once removed, and majority shareholder and President of JSC Kolmar Group. JSC Kolmar Group is carrying on business in sectors of strategic significance to the Government of Russia, namely the Russian energy and extractives sector. Therefore, Tsivileva is or has been involved in obtaining a benefit from, or supporting, the Government of Russia. Tsivileva is subject to a travel ban and asset freeze.
• Sergey Tsivilev is a Russian politician and businessman, who is currently the Governor of the Russian Kemerovo region. Tsivilev is married to Anna Tsivileva, first cousin once removed of President Putin. Tsivilev transferred ownership of JSC Kolmar Group after being appointed Governor of the coal rich Kemerovo region. Through his support for Russia’s invasion of Ukraine, Tsivilev has been involved in undermining or threatening the territorial integrity, sovereignty or independence of Ukraine. These statements and actions are particularly impactful given Tsivilev’s senior role in public office. Tsivilev is subject to a travel ban and asset freeze.   
• Ivan Tyryshkin is Chair of the Board of Directors at SPB Exchange, an exchange for international securities in the Russian financial market. Tyryshkin is also a member of the Board of Directors at the JSC United Specialised Depository, a Russian financial services firm providing registrar services to Russian businesses. Both companies are carrying on business in the Russian financial services sector, which is a sector of strategic significance to the Government of Russia. Currently, Tyryshkin heads a group of Russian individual investors buying foreign stakes in Russian banks. Tyryshkin is subject to a travel ban and asset freeze.
• Ruslan Baysarov is Chair of the Board of Directors of Bamtonnelstroy-Most Joint Stock Company, one of Russia’s largest construction enterprises specialising in transport infrastructure. Baysarov is involved in obtaining a benefit from or supporting the Government of Russia by carrying on business in a sector of strategic significance, namely the Russian construction and transport sectors. Baysarov is subject to a travel ban and asset freeze. 
• Mihajlo Perenčević is a Croatian businessman and President of the Russian pipeline construction company, Velesstroy. Velesstroy is carrying on business in the Russian construction, energy and extractives sectors through the construction of oil and gas pipelines and facilities. As President, Perenčević is working as a director or equivalent for a company that is carrying on business in sectors of strategic significance to the Government of Russia. Perenčević is therefore obtaining a benefit from or supporting the Government of Russia. Perenčević is subject to a travel ban and asset freeze.  
• JSC New Opportunities is a Russian company formed in March 2022 that recently purchased Sberbank’s digital services, shortly after international sanctions against Sberbank. JSC New Opportunities is involved in obtaining a benefit from or supporting the Government of Russia by carrying on business in a sector of strategic significance, namely the Russian information, communications and digital technologies sector. JSC New Opportunities is subject to an asset freeze.
• R-Style Softlab is a tech company supporting the optimisation and roll out of a Russian payment system that is equivalent to SWIFT. R-style Softlab is obtaining a benefit from or supporting the Government of Russia by carrying on business in the Russian information, communications and digital technology sector, which is a sector of strategic significance to the Government of Russia. R-style Softlab is able to bypass Russian banks’ exclusion from the SWIFT payment messaging network through its work on implementing a program to modernise the payment infrastructure and exchange of financial data via the Russian Central Bank’s System for Transfer of Financial Messages. R-Style Softlab is subject to an asset freeze.
• JSC Marshal.Global is a Russian investment banking, financial and asset management firm. It is obtaining a benefit from or supporting the Government of Russia through being an entity carrying on business in a sector of strategic significance to the Government of Russia, namely, the Russian financial services sector. JSC Marshal.Global is subject to an asset freeze. 
• Joint Stock Company Moscow Industrial Bank is a Russian commercial bank. It is or has been involved in obtaining a benefit from or supporting the Government of Russia by carrying on business in a sector of strategic significance to the Government of Russia, namely the Russian financial services sector. It is also a member of the Association of Russian Banks, an association representing the banking industry of Russia. JSC Moscow Industrial Bank is subject to an asset freeze.
• Sergey Fedorovich Rudskoy is Russia’s Head of Main Operations Directorate of the General Staff of the Armed Forces In this role, he has overseen the Russian forces in Syria and as such, he has supported the regime and been involved in the violent repression of Syria’s civilian population. Rudskoy is subject to a travel ban and asset freeze.
• Alexander Yuryevich Chaiko was the Head of the Russian forces in Syria from September 2019 until at least September 2020. Through this role, he has been involved in repressing the civilian population in Syria and supporting or benefiting from the Syrian regime. Chaiko is subject to a travel ban and asset freeze.
• Andrey Nikolaevich Troshev is Executive Director and Commander of the Wagner Group.  In this role, he has been responsible for engaging in or promoting the repression of the civilian population of Syria and supporting the Syrian Regime.  Troshev is subject to a travel ban and asset freeze.
• Andrei Mikhailovich Bogatov was the Head of the 4^th Reconnaissance and Attack Company of the Wagner Group. As such, he was a member of a militia which supported the Syrian regime and repressed the civilian population in Syria. Bogatov is subject to a travel ban and asset freeze.
• Evro Pollos LLC operates in the oil and gas industry in Syria and is therefore involved in supporting or benefiting from the Syrian regime.  The company is associated with Yevgeny Prigozhin who is a person who is or has been so involved. Prigozhin is a designated person due to his close links with the private military company wagner group.  Evro Pollos LLC is subject to an asset freeze.
• Mercury LLC operates in the oil and gas industry in Syria and is therefore involved in supporting or benefiting from the Syrian regime.  The company is associated with Yevgeny Prigozhin who is a person who is or has been so involved. Prigozhin is a designated person due to his close links with the private military company wagner group.   Mercury LLC is subject to an asset freeze.
• Velada LLC operates in the oil and gas industry in Syria and is therefore involved in supporting or benefiting from the Syrian regime.  The company is associated with Yevgeny Prigozhin who is a person who is or has been so involved. Prigozhin is a designated person due to his close links with the private military company wagner group.  Velada LLC is subject to an asset freeze.