US Ratchets Up Sanctions on Alrosa
Alrosa is now on the Specially Designated Nationals list, meaning U.S. companies need to stop doing business with it now.
The Russian diamond miner was put on the Specially Designated Nationals list, which means its assets are blocked and U.S. businesses and individuals effectively cannot do business with the company.
The designation extends to all entities owned 50 percent or more, directly or indirectly, by Alrosa.
The designation was also given to United Shipbuilding Corporation, a Russian company that constructs the majority of the country’s warships.
“Through these designations, Treasury is cutting off additional sources of support and revenue for the Government of the Russian Federation to wage its unprovoked war against Ukraine,” said the U.S. Treasury Department.
In February, Alrosa and its CEO were sanctioned in light of Russia’s invasion of Ukraine. An executive order March 11 then banned the import of non-industrial Russian diamonds into the United States.
The executive order still allowed for Russian diamonds cut and polished in a different country to be legally imported into the United States, but jewelers were advised to proceed with caution.
A bipartisan group in Congress wrote a letter to the Biden administration and U.S. Treasury Secretary Janet Yellen last week to request this loophole be examined.
In light of these new sanctions, the Jewelers Vigilance Committee shared updated guidance in a member alert issued Friday.
If a U.S. business has not already stopped doing direct business with Alrosa, it must stop now, JVC said.
“If a U.S. business has goods or funds in-house that Alrosa may have an ongoing interest in (due to a memo/consignment agreement or other contract), those assets are now frozen and the business should seek counsel to determine how to proceed.”
Also, if a U.S. business has an ownership interest in or a relationship with a foreign company that is still doing business with Alrosa—or if that business is owned by a foreign company that has a relationship with Alrosa—it may be at risk of having its assets blocked and should consult an attorney.
The best course of action, said JVC, is for businesses to tell suppliers they will not purchase any goods originating from Alrosa.
“It is not yet clear how OFAC or U.S. Customs will interpret this new designation, but if a U.S. business continues to deal in these goods, even indirectly, they are at risk for encountering issues upon importation or the freezing of assets,” said JVC.
U.S. banks will also have to comply with these new sanctions and likely will ask jewelers for information ensuring compliance.
Sanction violations can lead to significant civil monetary fines, often in the millions of dollars, said JVC, and prison sentences.
Businesses are encouraged to report any potentially unlawful transactions to OFAC.
For more information or assistance, call the OFAC hotline at 1-800-540-6322.
The Latest
Sponsored by the Las Vegas Antique Jewelry and Watch Show
Tobak, author of “Ice Cold: A Hip-Hop Jewelry History,” shares how the exhibition came to be, and the pieces people may be surprised to see.
Stars adorned themselves in emeralds, platinum, and myriad bird motifs, writes Associate Editor Natalie Francisco.
Tradeshow risks are real. Get tips to protect yourself before, during and after and gain safety and security awareness for your business.
M.S. Rau is set to open a seasonal gallery in the high-end resort town early next month.
The branded jewelry market is thriving, said Richemont Chairman Johann Rupert.
The six designers, all participants in the show’s Diversity Action Council mentorship program, will exhibit in Salon 634.
Meet Ben Claus—grand prize winner of For the Love of Jewelers 2023 Fall Design Challenge.
The highlight of his collection is the coveted Patek Philippe Grandmaster Chime, which could sell for up to $5 million.
The “Venetian Link” series modernizes the classic Veneziana box chain in its bracelets and necklaces.
The Seymour & Evelyn Holtzman Bench Scholarship will provide tuition assistance to two low-income students.
The executive talked about the importance of self-purchasers and how fuel cell electric vehicles are going to fuel demand for platinum.
The Indian jeweler’s new store in Naperville, Illinois marks its 350th location, part of its ongoing global expansion plans.
It will award a graduating high school student with about $10,000 toward a GIA diploma and an internship with the Seattle-based jeweler.
Wheat Ridge, Colorado police took a 50-year-old man into custody Wednesday following a two-month search.
PGI partnered with four new and seven returning designers for its annual platinum capsule collection.
Nicolosi, president and CEO of The Kingswood Company, previously sat on WJA’s board from 2011 to 2018.
Karina Brez’s race-ready piece is a sophisticated nod to the horse-rider relationship.
The men are allegedly responsible for stealing millions in jewelry and other valuables in 43 burglaries in 25 towns across Massachusetts.
“Horizon” invites individuals to explore the limitless possibilities that lie ahead, said the brand.
The jeweler credits its recent “Be Love” campaign and ongoing brand revamp for its 17 percent jump in sales.
The co-founder of Lewis Jewelers was also the longtime mayor of the city of Moore.
Elvis Presley gifted this circa 1967 gold and diamond watch to Dodie Marshall, his co-star in “Easy Come, Easy Go.”
Concerns about rising prices, politics, and global conflicts continue to dampen consumer outlook.
May’s birthstone is beloved for its rich green hue and its versatility.
Jacqui Larsson joins Opsydia with nearly two decades of experience in the industry.