OFAC authorized certain transactions involving the State Security Committee of the Republic of Belarus (the "Belarusian KGB") that are necessary for the importation, distribution or use of information technology products.
Such transactions, which otherwise are prohibited by the Belarus Sanctions Regulations, are authorized pursuant to newly issued General License 3 under the following conditions: (i) that the distribution of technology subject to the Export Administration Regulations is authorized by the Department of Commerce, and (ii) that the payment to the Belarusian KGB for such licenses does not exceed $5,000 in any calendar year.
The authorization also extends to transactions necessary to comply with law enforcement actions involving, or rules and regulations administered by, the Belarusian KGB. Transactions that involve the transfer of blocked property or that otherwise violate sanctions (e.g., through involvement of a blocked person other than the Belarusian KGB) remain prohibited.
Additionally, OFAC updated its Specially Designated Nationals and Blocked Persons List (or "SDN List") with numerous new Belarus-related designations, and issued two new FAQs that explain that General License No. 3:
- was issued to ensure U.S. persons are not "unduly impacted" when engaging in certain business activities in Belarus (FAQ 912); and
- does not authorize the exportation of hardware or software to the Belarusian KGB (FAQ 913).
The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.