In­ten­si­fy­ing war, Rus­sia sanc­tions 322 peo­ple and 68 busi­nesses

Kyiv Post - - Front Page - BY VYACHESLAV HNATYUK [email protected]

Rus­sia on Nov. 1 car­ried out its threat to sanc­tion Ukrainian in­di­vid­u­als and com­pa­nies, with pres­i­den­tial can­di­date Yu­lia Ty­moshenko and Pres­i­dent Petro Poroshenko’s son, Olek­siy, among those tar­geted.

The res­o­lu­tion in­tro­duc­ing the mea­sures, signed by Rus­sian Prime Min­is­ter Dmitry Medvedev, reads that the sanc­tions are be­ing im­posed be­cause of Ukraine’s “un­friendly mea­sures con­tra­dict­ing in­ter­na­tional law.”

The lat­est in­ten­si­fi­ca­tion of Rus­sia's war fur­ther widens the al­ready di­verg­ing paths the two for­mer Soviet republics are tak­ing — Ukraine's to­wards democ­racy and West­ern in­te­gra­tion; Rus­sia's to­wards the kind of au­toc­racy and vi­o­lent im­pe­rial as­pi­ra­tions that have char­ac­ter­ized Moscow's rulers in his­tory.

The res­o­lu­tion im­posed sanc­tions on 332 in­di­vid­u­als and 68 com­pa­nies in Ukraine, and fore­sees the freez­ing of funds, se­cu­ri­ties and prop­erty be­long­ing to the sanc­tioned per­sons and com­pa­nies in Rus­sia, as well as a ban on the trans­fer of their funds out of Rus­sia.

The move is seen as a re­sponse to Ukraine’s sanc­tions on Rus­sia, im­posed in May 2017 and on May 14, 2018, prompted by Rus­sia’s oc­cu­pa­tion of Ukraine’s Crimean penin­sula and parts of Donetsk and Luhansk oblasts in the Don­bas.

Ukraine has so far sanc­tioned 400 com­pa­nies and about 1,000 in­di­vid­u­als in Rus­sia.

Rus­sian Pres­i­dent Vladimir Putin said on Oct. 22 that he had or­dered the Rus­sian govern­ment to pre­pare sanc­tions against Ukraine.

Medvedev’s res­o­lu­tion reads that the list of sanc­tioned Ukrainian com- pa­nies and cit­i­zens is sub­ject to re­view, and that the men­tioned mea­sures might be lifted if Ukraine lifts its sanc­tions on Rus­sian cit­i­zens and com­pa­nies.

Who’s on the list?

Politi­cians, di­plo­mats, busi­ness­peo­ple, govern­ment of­fi­cials, high-rank­ing army of­fi­cers, and busi­ness ex­ec­u­tives, along with pub­lic fig­ures, were tar­geted by the Krem­lin sanc­tions.

The list also in­cludes peo­ple born in Rus­sia and work­ing for Ukrainebas­ed com­pa­nies, such as Olek­siy Pertin, who was born in the Rus­sian city of Chere­povets, Pertin works for Smart Hold­ing, a Ukrainian in­dus­trial con­glom­er­ate owned by op­po­si­tion law­maker Vadym Novyn­skyi, a sup­porter of the Moscow-backed branch of the Ortho­dox Church in Ukraine.

Ukrainian oli­garch Vik­tor Pinchuk, who once called for a com­pro­mise deal be­tween Ukraine and Rus­sia in a Wall Street Jour­nal opin­ion piece, was also on the list, which gave the sanc­tioned per­sons’ names in both Rus­sian and Ukrainian.

Most of the com­pa­nies named are from the agri­cul­ture and com­modi­ties sec­tors. The list in­cludes the State Food and Grain cor­po­ra­tion of Ukraine, Zernopro­dukt, poul­try pro­ducer MHP, sev­eral ore min­ing plants, Nika Agro­trade, and oth­ers.

The busi­ness em­pires of sev­eral Ukrainian oli­garchs are tar­geted — in­clud­ing those of Vic­tor Pinchuk (StarLightM­e­dia, Bank Credit Dnipro and oth­ers), Kostyan­tyn Zhe­vago (Av­toKrAZ), and Yuriy Ko­siuk (MHP Group). Ukraine’s rich­est oli­garch Ri­nat Akhme­tov was only tan­gen­tially hit with Oleg Popov, the CEO of Akhme­tov’s SCM Group, be­ing in­cluded in the list.

Ukraine’s phar­ma­ceu­ti­cals in­dus­try was also tar­geted. Phar­ma­ceu­ti­cals com­pany Far­mak and its di­rec­tor and owner Filya Zhe­brivska were on the list, as were the father-and-son own­ers of the Dar­nitsa phar­ma­ceu­ti­cal plant, Volodymyr and Glib Zagoriy.

The list also in­cludes three com­pa­nies reg­is­tered in West­ern Europe: Swiss-reg­is­tered Fer­rexpo, owned by Zhe­vago, Bri­tish EastOne Group owned by Pinchuk, and UK-based Toledo Min­ing Cor­po­ra­tion.

One of the first do­mes­tic com­pa­nies to com­ment on the sanc­tions was MHP Group. The group said the sanc­tions would have no in­flu­ence on its op­er­a­tions as it doesn’t do busi­ness in Rus­sia.

Who’s not on the list?

Many Ukrainian politi­cians will thank the Krem­lin for in­clud­ing them on the list, as this will boost their pa­tri­otic cre­den­tials, Ukrainian po­lit­i­cal an­a­lyst Volodymyr Fe­senko wrote in a blog on Kor­re­spon­dent. net.

How­ever, Fe­senko said that the fo­cus should be not on who is on the list, but rather on who isn’t.

The list omit­ted a num­ber of prom­i­nent Ukrainian politi­cians, in­clud­ing Ukrainian Pres­i­dent Petro Poroshenko and Prime Min­is­ter Volodymyr Groys­man, and op­po­si­tion leader Yuriy Boiko, a crony of run­away for­mer Pres­i­dent Vik­tor Yanukovych, ousted on Feb. 22, 2014 by the 100-day EuroMaidan Rev­o­lu­tion.

In­stead, the Krem­lin tar­geted the head of Pres­i­den­tial Ad­min­is­tra­tion, Ihor Rainin, the pres­i­dent’s son and law­maker Olek­siy Poroshenko, the first as­sis­tant to the Pres­i­dent Yuriy Onishchenk­o, and Poroshenko’s long-term aid and law­maker Irina Friz.


The list also con­tains at least one mis­take, it ap­pears.

Yevhen Va­sy­ly­ovych Karas, the leader of the Ukrainian na­tion­al­ist group C14, stated on Face­book that the Krem­lin had mis­tak­enly listed his near-name­sake Yevhen Va­leriy­ovych Karas, an artist and gallery owner, rather than him­self.

The Rus­sian flag flies over the Rus­sian Em­bassy in Kyiv on March 28, 2018. Rus­sia on Nov. 1 an­nounced sanc­tions against 322 in­di­vid­u­als and 68 en­ter­prises in Ukraine. (AFP)

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