The sanction is based on the Hong Kong Autonomy Act and Lam would be listed in the Specially Designated Nationals and Blocked Persons List. The UN sanctions list is available on the UN website. 2.10     Does your jurisdiction have an export control regime that is distinct from sanctions? Such move is largely in response to the U.S. government’s numerous measures against Chinese entities in terms of economic sanctions and export controls. When an UEL entity has taken remedial actions, the authority may remove it from the list. In general, China does not promulgate specific laws for economic sanctions; rather, China adopts United Nations (UN) sanctions-related resolutions. China. Reports that semiconductor and oil companies may soon join the US blacklist should not come as a surprise. Yes, for details what sanctions apply, see above mentioned links or contact us. As to the abovementioned possible Chinese sanction lists, the Chinese government has not published any implementing rules regarding the process for lifting sanctions. 29/2021, which imposes targeted sanctions against Skyrizon, a Chinese aviation firm, its owner Wang Jing, and 3 related companies. China sanctions 11 US politicians, heads of organizations China has announced unspecified sanctions against 11 U.S. politicians and heads of organizations promoting democratic causes, including Senators Marco Rubio and Ted Cruz, who have already been singled out by Beijing By The Associated Press August 10, 2020, 4:19 PM §§ 1601-1651, Special Inspector General, Troubled Asset Relief Program (SIGTARP), Special Inspector General for Pandemic Recovery (SIGPR), Administrative Resource Center (ARC)- Bureau of the Fiscal Service. ■    Implementation with additional domestic rules to UN resolutions. US sanctions against China have only just started. Does the scope of the US Entity List apply? Certain activities related to the Chinese Military Companies Sanctions may be allowed if they are licensed by OFAC. Sanctions List Search has a slider-bar that may be used to set a threshold (i.e., a confidence rating) for the closeness of any … For example, for a crime of money laundering, the maximum monetary fine is 20% of the money laundered. Persons or entities who refuse to accept an administrative (civil) penalty shall have the right to apply to the people’s government at the same level or to the competent department at a higher level for administrative reconsideration. The Administrative Penalties Committee takes charge of the initiation, investigation, hearing and review of the case. Budget, Financial Reporting, Planning and Performance, Financial Markets, Financial Institutions, and Fiscal Service, Treasury Coupon-Issue and Corporate Bond Yield Curve, Treasury International Capital (TIC) System, Kline-Miller Multiemployer Pension Reform Act of 2014, International Women’s Day 2021 – A Conversation on “The Age of Womenomics”, Secretary Janet Yellen & IMF Managing Director Kristalina Georgieva, FACT SHEET: Treasury to Work to Ensure Families Get Access to Economic Impact Payments, Explore the History of the U.S Department of the Treasury, United States Targets Family Members Profiting from Connection to Burmese Coup Leader, Statement from Secretary of the Treasury Janet L. Yellen on the U.S Senate’s Vote on the American Rescue Plan, Treasury to Invest $9 billion in Community Development Financial Institutions and Minority Depository Institutions through Emergency Capital Investment Program (ECIP), Statement from Secretary Yellen on President Biden’s Intention to Nominate Key Roles for Treasury, Statement from Secretary of the Treasury Janet L. Yellen on the Passage of the American Rescue Plan, Remarks from Secretary Janet L. Yellen at the National League of Cities Congressional City Conference, “What are the needs of Americans?” It also lists non-U.S. persons who have facilitated deceptive transactions for or on behalf of persons subject to U.S. sanctions. 28/12/2015: On 28 December 2015, the Secretariat made all United Nations Security Council (UN SC) sanctions lists available in the six official languages of the United Nations. Practice Areas > 4.2       Which government authorities are responsible for investigating and prosecuting criminal economic sanctions offences? month period of conditional non-debarment. The China Banking and Insurance Regulatory Commission issued a number of notices adding their own additional rules when implementing UN economic sanctions resolutions, such as to urge banks: In some limited cases, China does not implement UN resolutions against certain countries/regions due to the political position of the PRC government. Coal had also been identified in the list of commodities that Chinese importers had been warned to avoid from November 6. Is there parallel state or local enforcement? In 2019, the Standing Committee of the National People’s Congress released the China Export Control Law Draft, which set forth regulations on re-export, clearance, record keeping and compliance requirements. Generally, the Ministry of Foreign Affairs would first initiate a notice to notify various government agencies of the relevant UN Security Council resolutions and to urge the agencies to implement economic sanctions mandated by the resolutions. On May 31, 2019, in a press conference held by MOFCOM, it was announced that China would be establishing the UEL. The Sanctions List Search tool uses approximate string matching to identify possible matches between word or character strings as entered into Sanctions List Search, and any name or name component as it appears on the SDN List and/or the various other sanctions lists. China is working on enacting an Export Controls Law to streamline and upgrade its export controls regime. On Wednesday, the United States announced yet another tranche of sanctions targeting Chinese companies. The law authorizes the President to impose sanctions on persons, including Chinese government officials, determined to be responsible for certain human rights violations and abuses committed against Muslim minority groups in China or elsewhere. For example, the maximum financial penalties for financial institutions in violation of anti-money laundering may be subject to fines of 5 million RMB, and their employees in charge may be subject to fines of 500,000 RMB. Foreign Sanctions Evaders List (“FSE List”) The FSE List is a list of persons OFAC has determined have engaged in conduct related to the evasion of U.S. sanctions on Iran and Syria. ICLG - Sanctions - 187 [2017] of the People’s Bank of China). If any of the listed persons are identified, the financial institutions and specific non-financial institutions shall take corresponding actions immediately and report the relevant information to the People’s Bank of China and other relevant authorities. The Foreign Trade Law (2016, as amended) has two general provisions that set forth “the State may restrict or prohibit the import or export of relevant goods or technology if…it is necessary to restrict or prohibit the import or export under any other circumstance as provided for in any international treaty or agreement that China has concluded or acceded to” (Article 16), and “when in war or for keeping international peace and security, the State may take any necessary measures in terms of the import or export of goods or technology” (Article 17). The National Security Law (2015) has provided legal authority for the State Council to take actions as necessary when there is a national security concern. 1.2       What are the relevant government agencies that administer or enforce the sanctions regime? China had previously pledged to draw up a list of companies that harm its interests after the U.S. imposed sanctions on Chinese telecommunications gear supplier Huawei and placed it on a … With the introduction and implementation of the Provisions on the Unreliable Entity List (the “UEL Provisions”) by the Ministry of Commerce of the PRC (MOFCOM) on 19 September 2020, China’s legislation on the Unreliable Entity List (UEL), which started in May last year, has finally made substantial progress. 40, Fuxing Road, Beijing 100855, China . Another way of implementing UN resolutions is adding relevant government agencies’ additional rules/interpretations. 1.3       Have there been any significant changes or developments impacting your jurisdiction’s sanctions regime over the past 12 months? Low Risk. Yes, for details what sanctions apply, see above mentioned links or contact us. Minutes after U.S. President Joe Biden took office on Wednesday, Beijing announced sanctions on nearly every Trump administration official who had … In recent weeks, in relation to the U.S. passage of the Hong Kong Human Rights and Democracy Act and the Uyghur Human Rights Policy Act, as well as the Chinese government’s consideration of implementing national security law in Hong Kong, MFA has repeatedly commented that in response to the wrong moves by the external forces to interfere in the Hong Kong affairs, China will take necessary countermeasures, which remain unspecified so far. Please see the Consolidated List page for more detailed information on what is included in the Consolidated List. 4.4       What are the maximum financial penalties applicable to individuals and legal entities convicted of criminal sanctions violations? Thank youOtibho Edeke-Agbareh - KENYON, © 2002-2021 Copyright: ICLG.com | Our Privacy, Unlock 3 FREE PDF chapters by registering with us FREE 3.4       Are there any sanctions-related reporting requirements? OFAC issues general licenses in order to authorize activities that would otherwise be prohibited with regard to the Chinese Military Companies Sanctions. 4.14     What is the statute of limitations for economic sanctions violations? Mr. Trump held off on sanctions over China’s treatment of its Uighur minority for much of 2018 and 2019 in the interest of closing a trade deal with China, which he signed in January. Ukraine imposes sanctions on China’s Skyrizon. 12-11-2020 issued Executive Order Addressing the Threat from Securities Investments that Finance Communist Chinese Military Companies. There are a number of important lists that address trade sanctioned persons and organizations: The Specially Designated Nationals and Blocked Persons List (Treasury); The Foreign Sanctions Evaders List (Treasury); The Entity List (Commerce); The Denied Persons List (Commerce); The Unverified List (Commerce); The Nonproliferation Sanctions List (State); MOFCOM announced that it is planning to designate certain foreign entities to the UEL in accordance with the Foreign Trade Law, the Anti-Monopoly Law, the National Security Law and other relevant laws, regulations and rules. As of June 29, 2020, no further details or implementing rules regarding the UEL have been made, and no entities or individuals have been designated to the UEL. The reconsideration decision shall be made within 60 days from the date it accepts an application. 2 min read China said Saturday it had launched a mechanism enabling it to restrict foreign entities, a much-anticipated move seen as retaliation to US penalties against Chinese companies such as telecom giant Huawei. In fact, most criminal and civil enforcement is at the local level of competent government agencies. The list is also expected to be a major bargaining chip in trade discussions between the two countries. 2.7       Does your jurisdiction maintain any comprehensive sanctions or embargoes against countries or regions? For example, if a financial institution is found guilty of money laundering, it shall be fined in the amount of 5–20% of the money laundered, and any of the persons who are directly in charge, as well as the other persons who are directly responsible for the crime, shall be sentenced to fixed-term imprisonment of no more than 10 years. China has not imposed secondary sanctions. What are the elements of a compliance programme required (or recommended) by the competent regulator(s)? These authorities are further codified by OFAC in its regulations which are published the Code of Federal Regulations (CFR). This period of sanction extends to all affiliates that CRCC, CR23, and/or CRCC International directly or indirectly control, with the exception of China Railway 20th Bureau Group Co. and its controlled affiliates, which are exempted. Certain activities related to the Chinese Military Companies Sanctions may be allowed if they are licensed by OFAC. The Chinese government has announced sanctions against outgoing secretary of state Mike Pompeo and 27 other high-ranking officials under … 5.2       Please provide information for how to obtain relevant economic sanctions laws, regulations, administrative actions, and guidance from the Internet. Please also refer to the discussion under question 2.4. 4.7       Which government authorities are responsible for investigating and enforcing civil economic sanctions violations? 4.6       Are there civil penalties for violating economic sanctions laws and/or regulations? China's trade hit list: Even more Australian industries are put on 'high alert' as businesses 'feel very real fear' over crippling Beijing sanctions that could be imposed at ANY time. Are the materials publicly available in English? PRC persons and activities within PRC territory are subject to PRC jurisdiction for the purpose of sanctions. No details of sanction measures were provided. 4.5       Are there other potential consequences from a criminal law perspective? 4.9       What are the maximum financial penalties applicable to individuals and legal entities found to have violated economic sanctions? Senators, Marco Rubio and Ted Cruz, Congressman Chris Smith, and Sam Brownback, the ambassador-at-large for international religious freedom) and one entity (i.e. The United States is restricting 11 Chinese companies from buying American technology and other goods because it says they're linked to alleged human rights violations in Xinjiang. First, persons or entities may apply for administrative reconsideration within 60 days from the date when they come to know such administrative acts. In total, Friday’s announcement added 77 companies and groups, including the four previously mentioned, to Commerce’s “Entities List” for a range of actions that endangered U.S. interests and national security, ranging from “militarization and unlawful maritime claims in the South China Sea” to the “theft of U.S. trade secrets.” Below OFAC has issued guidance and statements on specific licensing policies as they relate to the Chinese Military Companies Sanctions. With permanent seats in the UN Security Council, China maintains, and only maintains, sanctions within UN frameworks. Generally, the MFA would first initiate a notice to notify various government agencies of relevant UN Security Council resolutions and to urge the agencies to implement economic sanctions mandated by the resolutions. On June 17, 2020, the President signed the Uyghur Human Rights Policy Act of 2020 into law. The Sanctions List Search tool uses approximate string matching to identify possible matches between word or character strings as entered into Sanctions List Search, and any name or name component as it appears on the SDN List and/or the various other sanctions lists. LIST: Chinese companies sanctioned by US for South China Sea island-building. Therefore, in practice, UN sanction resolutions against certain countries/regions are not implemented in China; e.g., UN sanctions against Sudan have not been implemented in the PRC. In a … For criminal liabilities, PRC Criminal Law applies to: 1) all crimes committed within the territory of the PRC; 2) PRC citizens who have committed crimes outside the territory of the PRC; 3) foreigners who are outside PRC territory, and have committed crimes against the PRC or its citizens; and 4) crimes specified in international treaties to which the PRC is a signatory state or with which it is a member and the PRC exercises criminal jurisdiction over such crimes within its treaty obligations. Specifically, Article 37 provides that “the State Council shall, in accordance with the Constitution Law of the People’s Republic of China and other applicable laws, formulate administrative regulations related to national security, stipulate relevant administrative measures and issue relevant decisions and orders and it shall implement laws, regulations and policies related to national security”, and Article 59 provides that “the State shall establish a review and supervision system and mechanism for national security, and conduct security review against foreign investment, specific items and key technologies and network information technology products and services that affect or may affect national security, projects relating to national security matters and other material matters and events in order to effectively prevent and resolve national security risks”. China announced multiple sanctions against Trump administration officials and allies on Wednesday, including Secretary of State Mike Pompeo, just … 4.3       Is there both corporate and personal criminal liability? China (CN) - embargo on arms. As to the abovementioned possible Chinese sanction lists, the PRC government has not published any implementing rules. As such, it is unknown whether there will be any requirements to block or freeze funds or other property that violate sanctions prohibitions. Visit the link below to apply for an OFAC license. 2.11     Does your jurisdiction have blocking statutes or other restrictions that prohibit adherence to other jurisdictions’ sanctions or embargoes? In general, China does not promulgate specific laws for economic sanctions; rather, China adopts United Nations (UN) sanctions-related resolutions. Other authorities are public laws (statutes) passed by The Congress. There are such reporting requirements in the banking and financial sector. 2.5       Is there a mechanism for an individual or entity to challenge its addition to a sanctions list? There are specific compliance requirements for banking financial institutions. MOFCOM officials explained in a press conference that they will take into account four factors in designating any foreign entities in the UEL: (i)   whether the entity has implemented actions of blockade, supply disruption, or other discriminatory measures against Chinese entities; (ii)   whether the actions of the entity are not for commercial purposes and are in violation of market principles and contractual obligations; (iii)  whether the actions of the entity have caused or are causing material injuries to Chinese enterprises or relevant industries; and. Medium Risk. Boeing, Lockheed Martin and Raytheon are among the list of U.S. businesses and individuals that will face Chinese sanctions over arms sales to China's Taiwan, announced Chinese Foreign Ministry spokesperson Zhao Lijian on Monday. For an entity/individual listed as a sanctioned entity/individual by a UN resolution, corresponding actions including freezing the assets under bank accounts will be taken by a financial institution or a specific non-financial institution (Notice of the People’s Bank of China on Implementing the Relevant Resolutions of the United Nations Security Council, No. This time, 24 Chinese firms were added to the Entity List… JunHe Law Offices, Siyu (Rain) Wang There are both corporate and personal liabilities for criminal violations. In addition, persons/entities who refuse to accept an administrative penalty also have the right to bring an administrative lawsuit directly in accordance with laws. The assessment of penalties depends on the gravity of the violation and the amount of the illegal income, and there is no specific guidance on penalties assessment. Violations initially will be investigated by the relevant regulatory authorities, such as the People’s Bank of China or Customs. For the additional economic sanctions-related measures proposed or under consideration, please see the discussions under question 2.4. The sanctions lists have increased each year and now consist of more than 500 companies and 300 individuals. General licenses allow all US persons to engage in the activity described in the general license without needing to apply for a specific license. There are both corporate and personal liabilities for administrative violations. Date. 2.1       What are the legal or administrative authorities for imposing sanctions? 2.3       Is your jurisdiction a member of a regional body that issues sanctions? Other officials sanctioned by China on Monday included Carl Gershman, the president of the National Endowment for Democracy, and Michael Abramowitz, the president of Freedom House - … These sanctions are sometimes referred to as autonomous sanctions and are made outside the UNSC framework. Beijing would consider sanctions on entities whose activities "harm China's national sovereignty, security, and development interests" or violate "internationally accepted economic and trade rules". Targeted sanctions are prohibitions on trade in specified goods, technologies, and services with specific organizations (including foreign governments) and persons. 3.2       Are parties required to block or freeze funds or other property that violate sanctions prohibitions? The Chinese government does not provide any official documents in the English language. Besides, the recent MFA announcement of possible sanctions over U.S. companies involved in U.S. arms sales to Taiwan and NGOs involved in the turmoil in Hong Kong indicated that China may impose sanctions even when there is no Mainland China nexus. Since the PRC implements UN economic sanctions through administrative notices, the administrative (civil) enforcement process differs in different laws and regulations. As to the abovementioned possible Chinese sanction lists, the PRC government has not published any implementing rules. Russia Sanctions List In 2014 the US, EU and other states imposed a range of sanctions on Russian companies and individuals in connection with the annexation of the Crimea and Russia's involvement in a military conflict in Eastern Ukraine. Taking the People’s Bank of China Administrative Penalties Procedures as an example, an Administrative Penalties Committee is set up to conduct the major administrative (civil) enforcement. 4.12     Describe the appeal process. The list … The U.S. government has added two dozen Chinese companies and associated individuals to a government sanction list that blocks them from buying American products, citing their involvement in … Sanctioned Entities Name of Firm & Address Date of Imposition of Sanction Sanction Imposed Grounds China Railway Construction Corporation Limited (中国铁建股份有限公司)*38 No. Low Risk It is yet to be seen how it may be designed. 3.3       Are there licences available that would authorise activities otherwise prohibited by sanctions? In addition, on December 2, 2019, MFA announced that China would impose sanctions on five U.S. NGOs for their involvement in the turmoil in Hong Kong (e.g. Furthermore, banks are also required to develop their “Know Your Customer” profiles for the administration of bank accounts to implement the relevant UN sanction resolutions (Notice of the General Office of China Banking Regulatory Commission on Strengthening the Management of Bank Accounts and Effectively Implementing the Relevant Sanction Resolutions of the United Nations, Document Number: CBRC General Office [2010] 12, dated January 11, 2010). The UK, EU and US all implement their own autonomous sanctions. 4.8       Is there both corporate and personal civil liability? For example, in the case of money laundering, financial institutions may be subject to fines ranging from 200,000–5 million RMB and the persons in direct charge may be subject to fines ranging from 10,000–500,000 RMB, and be sanctioned by a disciplinary warning, be deprived of qualifications or be prohibited from engaging in relevant financial industry work. OFAC issues interpretive guidance on specific issues related to the sanctions programs it administers. March 4, 2020 -March 3, 2022 Conditional … Written by: Wang Feng, Dai Meng hao Regulatory& Compliance Group. Individuals/entities administratively punished could be placed on a discredited name list, which would have a wide range of consequences; for example, restrictions on excess spending, restrictions on assuming managerial roles in an entity, stricter scrutiny in import and export, and other practical difficulties such as in obtaining financing, etc. Background of China's new sanctions list. Pursuant to the waiver authority exercised by the President in Executive Order 13338, BIS may consider several categories of items on a case-by-case basis including medicines on the CCL and … Weiyang (David) Tang ■    Implementation without additional domestic rules to UN resolutions. to prevent an organisation or individual from using the institution for supporting terrorism, money laundering and other illegal activities.