Sun Sentinel Palm Beach Edition

U.S. raises sanctions on Russia

Moves targets billionair­es, Putin’s son-in-law

- By Noah Bierman and Chris Megerian Staff writers Tracy Wilkinson Noah Bierman and Brian Bennett in Washington and special correspond­ent Sabra Ayres in Moscow contribute­d.

In the latest sign of plummeting relations with Moscow, the Trump administra­tion slapped new sanctions on seven Russian oligarchs with close ties to the Kremlin, including President Vladimir Putin’s son-in-law.

WASHINGTON — In the latest sign of plummeting relations with Moscow, the Trump administra­tion slapped new sanctions Friday on seven Russian oligarchs with close ties to the Kremlin, including President Vladimir Putin’s sonin-law, for what a U.S. official called “attacks to subvert Western democracie­s.”

The administra­tion’s long-delayed move against Russia’s ruling elite, mandated by Congress last year to punish Moscow for its meddling in the 2016 U.S. election, also included targeted sanctions against 12 Russian companies and 17 senior government officials.

The direct assault on Putin’s inner circle seemed to signal an end, at least for now, to President Donald Trump’s persistent efforts to revive moribund U.S. relations with Moscow despite growing warnings by U.S. intelligen­ce officials that the Kremlin will try to interfere in the November midterm elections.

The blacklist was issued a week after the United States and two dozen other countries expelled about 150 Russian diplomats, alleged to be intelligen­ce operatives, in retaliatio­n for the nerve gas poisoning of a former Russian double agent and his daughter in southern England last month.

Putin’s government, which has denied responsibi­lity for the attack, responded by expelling a similar number of U.S. and other diplomats in the kind of crude tit-for-tat clash not seen since the Cold War. Dozens of U.S. diplomats and their families left Moscow on Thursday.

Trump has been reluctant to publicly criticize Putin, even inviting him to the White House in a phone call March 20, although no summit has been scheduled. Trump did not publicly mention the new sanctions Friday.

But the White House took a far stronger line Friday, signaling that the olive branch has been withdrawn.

“What we would like to see is the totality of the Russian behavior change,” Sarah Huckabee Sanders, the White House spokeswoma­n, told reporters.

Asked whether Trump agreed, Sanders said the president “has signed off and directed these actions. I think that that speaks volumes, actually, on how the president feels.”

A senior administra­tion official, who briefed reporters on condition of anonymity, said Trump seeks a “better relationsh­ip” with Russia. “That can only happen when Russia curbs its aggressive behavior. Actions have consequenc­es.”

The tougher tone by the White House was previewed this week in a speech by H.R. McMaster, the outgoing national security adviser.

“So for too long some nations have looked the other way in the face of these threats,” he said Tuesday at the Atlantic Council, a foreign policy think tank. “Russia brazenly and implausibl­y denies its actions. And we have failed to impose sufficient costs.”

The push comes as special counsel Robert Mueller investigat­es Russia’s interferen­ce in the 2016 campaign, and any illegal ties between Trump’s aides and Russian authoritie­s. Mueller recently obtained criminal indictment­s against 13 Russian individual­s, including several of those on the latest blacklist.

“Russian oligarchs and elites who profit from this corrupt system will no longer be insulated from the consequenc­es of their government’s destabiliz­ing activities.” Treasury Secretary Steven Mnuchin said.

Mnuchin criticized Putin’s government for engaging in “a range of malign activity around the globe,” including its occupation of Crimea and military operations in eastern Ukraine, its military support for Syrian President Bashar Assad’s forces in that country’s brutal civil war, as well as “attempting to subvert Western democracie­s, and malicious cyber activities.”

In March, the administra­tion levied sanctions against 16 Russian entities and individual­s, as well as Russian intelligen­ce agencies and officials. The new measures stand out because they go after the pocketbook­s of some of Russia’s wealthiest businessme­n, including some of Putin’s closest advisers and supporters.

They include Oleg Deripaska, a 50-year-old metals magnate said to be worth $5.8 billion. Deripaska had business ties with Paul Manafort, who served as Trump’s campaign chairman for several months in 2016. Manafort has since been indicted on multiple charges of money laundering, bank fraud and conspiracy. He has pleaded not guilty.

Also on the list is 36-yearold Kirill Shamalov, a petrochemi­cal executive whose fortune reportedly soared to nearly $1.5 billion after he married Putin’s daughter Katerina in 2012. Recent unconfirme­d reports suggest the marriage has collapsed.

Among the businesses sanctioned is a state-owned weapons company that supplied military equipment to the government in Syria, which Moscow backs. The sanctions bar the individual­s or entities from using U.S. financial systems or doing business with any U.S. citizens or companies, and freezes any assets they may have in the United States.

According to a White House statement, the Trump administra­tion has taken a broad array of steps to confront “destabiliz­ing and malicious behavior” by Russia.

Speaking in Moscow on Thursday, Russian Foreign Minister Sergey Lavrov complained about the increasing­ly hostile U.S. stance towards Russia but expressed hope that Trump and Putin could conduct a “broad dialogue” as long as it does not “fall victim to domestic political intrigues” in Washington.

“The United States must press forward with a broader strategy to deter and, if necessary, defeat Russian aggression and counter Russian malign influence activities,” Sen. John McCain, R-Ariz., said in a statement. “Anything less will only encourage Putin to continue attacking us, our allies, and democracie­s around the world.”

 ?? MIKHAIL KLIMENTYEV/AP 2017 ?? Russian President Vladimir Putin, left, and metals magnate Oleg Deripaska, right, at a business conference in Vietnam last year. The U.S. sanctioned Deripaska on Friday.
MIKHAIL KLIMENTYEV/AP 2017 Russian President Vladimir Putin, left, and metals magnate Oleg Deripaska, right, at a business conference in Vietnam last year. The U.S. sanctioned Deripaska on Friday.

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