URAL Airlines JSC, Utrenniy Lane 1-g, Yekaterinburg, Russia 620025; Order Renewing Temporary Denial of Export Privileges, 22406-22408 [2023-07838]
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Federal Register / Vol. 88, No. 71 / Thursday, April 13, 2023 / Notices
inspected and reproduced at the
Regional Programs Unit, as they become
available, both before and after the
meeting. Persons interested in the work
of this Committee are directed to the
Commission’s website, https://
www.usccr.gov, or may contact the
Regional Programs Unit at the above
email or street address.
Agenda
I. Welcome & Roll Call
II. Approval of Minutes
III. Committee Discussion
IV. Public Comment
V. Adjournment
Dated: April 10, 2023.
David Mussatt,
Supervisory Chief, Regional Programs Unit.
[FR Doc. 2023–07841 Filed 4–12–23; 8:45 am]
BILLING CODE 6335–01–P
DEPARTMENT OF COMMERCE
Bureau of Industry and Security
URAL Airlines JSC, Utrenniy Lane 1-g,
Yekaterinburg, Russia 620025; Order
Renewing Temporary Denial of Export
Privileges
Pursuant to section 766.24 of the
Export Administration Regulations, 15
CFR parts 730–774 (2021) (‘‘EAR’’ or
‘‘the Regulations’’),1 I hereby grant the
request of the Office of Export
Enforcement (‘‘OEE’’) to renew the
temporary denial order (‘‘TDO’’) issued
in this matter on October 13, 2022. I
find that renewal of this order is
necessary in the public interest to
prevent an imminent violation of the
Regulations.
I. Procedural History
On October 13, 2022, I signed an
order denying URAL Airlines JSC
(‘‘URAL’’) export privileges for a period
of 180 days on the ground that issuance
lotter on DSK11XQN23PROD with NOTICES1
1 On
August 13, 2018, the President signed into
law the John S. McCain National Defense
Authorization Act for Fiscal Year 2019, which
includes the Export Control Reform Act of 2018, 50
U.S.C. 4801–4852 (‘‘ECRA’’). While section 1766 of
ECRA repeals the provisions of the Export
Administration Act, 50 U.S.C. app. 2401 et seq.
(‘‘EAA’’) (except for three sections which are
inapplicable here), section 1768 of ECRA provides,
in pertinent part, that all orders, rules, regulations,
and other forms of administrative action that were
made or issued under the EAA, including as
continued in effect pursuant to the International
Emergency Economic Powers Act, 50 U.S.C. 1701
et seq. (‘‘IEEPA’’), and were in effect as of ECRA’s
date of enactment (August 13, 2018), shall continue
in effect according to their terms until modified,
superseded, set aside, or revoked through action
undertaken pursuant to the authority provided
under ECRA. Moreover, section 1761(a)(5) of ECRA
authorizes the issuance of temporary denial orders.
50 U.S.C. 4820(a)(5).
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17:56 Apr 12, 2023
Jkt 259001
of the order was necessary in the public
interest to prevent an imminent
violation of the Regulations. The order
was issued ex parte pursuant to section
766.24(a) of the Regulations and was
effective upon issuance.2
On March 7, 2023, BIS, through OEE,
submitted a written request for renewal
of the TDO that issued on October 13,
2022. The written request was made
more than 20 days before the TDO’s
scheduled expiration. A copy of the
renewal request was sent to URAL in
accordance with sections 766.5 and
766.24(d) of the Regulations. No
opposition to the renewal of the TDO
has been received.
II. Renewal of the TDO
A. Legal Standard
Pursuant to section 766.24, BIS may
issue an order temporarily denying a
respondent’s export privileges upon a
showing that the order is necessary in
the public interest to prevent an
‘‘imminent violation’’ of the
Regulations, or any order, license or
authorization issued thereunder. 15 CFR
766.24(b)(1) and 766.24(d). ‘‘A violation
may be ‘imminent’ either in time or
degree of likelihood.’’ 15 CFR
766.24(b)(3). BIS may show ‘‘either that
a violation is about to occur, or that the
general circumstances of the matter
under investigation or case under
criminal or administrative charges
demonstrate a likelihood of future
violations.’’ Id. As to the likelihood of
future violations, BIS may show that the
violation under investigation or charge
‘‘is significant, deliberate, covert and/or
likely to occur again, rather than
technical or negligent[.]’’ Id. A ‘‘lack of
information establishing the precise
time a violation may occur does not
preclude a finding that a violation is
imminent, so long as there is sufficient
reason to believe the likelihood of a
violation.’’ Id.
B. The TDO and BIS’s Request for
Renewal
The U.S. Commerce Department,
through BIS, responded to the Russian
Federation’s (‘‘Russia’s’’) further
invasion of Ukraine by implementing a
sweeping series of stringent export
controls that severely restrict Russia’s
access to technologies and other items
that it needs to sustain its aggressive
military capabilities. These controls
primarily target Russia’s defense,
aerospace, and maritime sectors and are
intended to cut off Russia’s access to
vital technological inputs, atrophy key
sectors of its industrial base, and
2 The TDO was published in the Federal Register
on October 19, 2022 (87 FR 63477).
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undercut Russia’s strategic ambitions to
exert influence on the world stage.
Effective February 24, 2022, BIS
imposed expansive controls on aviationrelated (e.g., Commerce Control List
Categories 7 and 9) items to Russia,
including a license requirement for the
export, reexport or transfer (in-country)
to Russia of any aircraft or aircraft parts
specified in Export Control
Classification Number (ECCN) 9A991
(section 746.8(a)(1) of the EAR).3 BIS
will review any export or reexport
license applications for such items
under a policy of denial. See section
746.8(b). Effective March 2, 2022, BIS
excluded any aircraft registered in,
owned, or controlled by, or under
charter or lease by Russia or a national
of Russia from being eligible for license
exception Aircraft, Vessels, and
Spacecraft (AVS) (section 740.15 of the
EAR).4 Accordingly, any U.S.-origin
aircraft or foreign aircraft that includes
more than 25% controlled U.S.-origin
content, and that is registered in,
owned, or controlled by, or under
charter or lease by Russia or a national
of Russia, is subject to a license
requirement before it can travel to
Russia.
OEE’s request for renewal is based
upon the facts underlying the issuance
of the initial TDO and the evidence
developed over the course of this
investigation, which indicate a blatant
disregard for U.S. export controls, as
well as the TDO. Specifically, the initial
TDO, issued on October 13, 2022, was
based on evidence that URAL engaged
in conduct prohibited by the
Regulations by operating aircraft subject
to the EAR and classified under ECCN
9A991 on flights into Russia after March
2, 2022 from destinations, including
Bishkek, Kyrgyzstan; Dushanbe,
Tajikistan; Khudzhand, Tajikistan; and
Tamchy, Kyrgyzstan, without the
required BIS authorization.5 Further
evidence submitted by BIS indicated
that URAL was continuing to operate
aircraft subject to the EAR domestically
3 87 FR 12226 (Mar. 3, 2022). Additionally, BIS
published a final rule effective April 8, 2022, which
imposed licensing requirements on items controlled
on the Commerce Control List (‘‘CCL’’) under
Categories 0–2 that are destined for Russia or
Belarus. Accordingly, now all CCL items require
export, reexport, and transfer (in-country) licenses
if destined for or within Russia or Belarus. 87 FR
22130 (Apr. 14, 2022).
4 87 FR 13048 (Mar. 8, 2022).
5 Publicly available flight tracking information
shows multiple flights into Russia, including the
following: on September 10, 2022, SN 5055 flew
from Dushanbe, Tajikistan to Irkutsk, Russia, and
on September 6, 2022, SN 5055 flew from
Khudzhand, Tajikistan to Sochi, Russia. In
addition, on October 6, 2022, serial number (SN)
5055 flew from Bishkek, Kyrgyzstan to Samara,
Russia.
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Federal Register / Vol. 88, No. 71 / Thursday, April 13, 2023 / Notices
on flights within Russia, potentially in
violation of section 736.2(b)(10) of the
Regulations.
In its March 7, 2023 request for
renewal of the TDO, BIS has submitted
evidence that URAL continues to
operate in violation of the October 13,
Tail No.
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IV. Order
It is therefore ordered:
First, URAL Airlines JSC, Utrenniy
Lane 1-g, Yekaterinburg, Russia, 620025,
when acting for or on their behalf, any
successors or assigns, agents, or
employees may not, directly or
17:56 Apr 12, 2023
Aircraft type
5055
5055
5055
5055
5055
5055
5055
5055
5055
2376
2376
2376
2376
2376
2376
2376
1941
1941
1941
1941
1941
1941
1941
1941
1941
1941
III. Findings
Under the applicable standard set
forth in section 766.24 of the
Regulations and my review of the entire
record, I find that the evidence
presented by BIS convincingly
demonstrates that URAL has acted in
violation of the Regulations and the
TDO; that such violations have been
significant, deliberate and covert; and
that given the foregoing and the nature
of the matters under investigation, there
is a likelihood of imminent violations.
Therefore, renewal of the TDO is
necessary in the public interest to
prevent imminent violation of the
Regulations and to give notice to
companies and individuals in the
United States and abroad that they
should avoid dealing with URAL in
connection with export and reexport
transactions involving items subject to
the Regulations and in connection with
any other activity subject to the
Regulations.
VerDate Sep<11>2014
2022 TDO and/or the Regulations by
operating aircraft subject to the EAR and
classified under ECCN 9A991 on flights
into and out of Russia, as well as
domestically within Russia.
Specifically, BIS’s evidence and related
investigation indicated that URAL has
Jkt 259001
A320–232
A320–232
A320–232
A320–232
A320–232
A320–232
A320–232
A320–232
A320–232
A320–232
A320–232
A320–232
A320–232
A320–232
A320–232
A320–232
A321–231
A321–231
A321–231
A321–231
A321–231
A321–231
A321–231
A321–231
A321–231
A321–231
Departure/arrival cities
Frm 00004
Dates
Dushanbe, TJ/Ufa, RU ................................
Osh, KG/Ufa, RU .........................................
Osh, KG/Krasnoyarsk, RU ..........................
Yekaterinburg, RU/Moscow, RU .................
Irkutsk, RU/Moscow, RU .............................
Yekaterinburg, RU/Moscow, RU .................
Moscow, RU/Yekaterinburg, RU .................
Dushanbe, TJ/Chelyabinsk, RU ..................
Dushanbe, TJ/Novosibirsk, RU ...................
Bishkek, KG/Yekaterinburg, RU ..................
Moscow, RU/Yekaterinburg, RU .................
Yekaterinburg, RU/Sochi, RU .....................
Kaliningrad, RU/Moscow, RU ......................
Moscow, RU/Kaliningrad, RU ......................
Dushanbe, TJ/Sochi, RU .............................
Dushanbe, TJ/Kazan, RU ...........................
Dushanbe, TJ/Yekaterinburg, RU ...............
Osh, KG/Yekaterinburg, RU ........................
Dushanbe, TJ/Yekaterinburg, RU ...............
Sochi, RU/Yekaterinburg, RU .....................
Dushanbe, TJ/Yekaterinburg, RU ...............
Sochi, RU/Moscow, RU ...............................
Kulob, TJ/Moscow, RU ................................
Sochi, RU/Yekaterinburg, RU .....................
Khujand, TJ/Yekaterinburg, RU ..................
Khujand, TJ/Yekaterinburg, RU ..................
indirectly, participate in any way in any
transaction involving any commodity,
software or technology (hereinafter
collectively referred to as ‘‘item’’)
exported or to be exported from the
United States that is subject to the EAR,
or in any other activity subject to the
EAR including, but not limited to:
A. Applying for, obtaining, or using
any license (except directly related to
safety of flight), license exception, or
export control document;
B. Carrying on negotiations
concerning, or ordering, buying,
receiving, using, selling, delivering,
storing, disposing of, forwarding,
transporting, financing, or otherwise
servicing in any way, any transaction
involving any item exported or to be
exported from the United States that is
subject to the EAR except directly
related to safety of flight and authorized
by BIS pursuant to section 764.3(a)(2) of
the Regulations, or engaging in any
other activity subject to the EAR except
directly related to safety of flight and
authorized by BIS pursuant to section
764.3(a)(2) of the Regulations; or
C. Benefitting in any way from any
transaction involving any item exported
or to be exported from the United States
that is subject to the EAR, or from any
other activity subject to the EAR except
PO 00000
continued to operate aircraft subject to
the EAR, including, but not limited to,
on flights into and out of Russia from/
to Bishkek, Kyrgyzstan, Dushanbe,
Tajikistan, and Khujand, Tajikistan.
Information about those flights includes,
but is not limited to, the following:
Fmt 4703
Sfmt 4703
March 20, 2023.
March 19, 2023.
March 19, 2023.
March 16, 2023.
March 11, 2023.
March 7, 2023.
March 5, 2023.
February 27, 2023.
February 25, 2023.
March 19, 2023.
March 14, 2023.
March 11, 2023.
March 7, 2023.
March 7, 2023.
March 2, 2023.
February 24, 2023.
March 21, 2023.
March 20, 2023.
March 19, 2023.
March 19, 2023.
March 19, 2023.
March 16, 2023.
March 15, 2023.
March 12, 2023.
March 11, 2023.
March 6, 2023.
directly related to safety of flight and
authorized by BIS pursuant to section
764.3(a)(2) of the Regulations.
Second, that no person may, directly
or indirectly, do any of the following:
A. Export, reexport, or transfer (incountry) to or on behalf of URAL any
item subject to the EAR except directly
related to safety of flight and authorized
by BIS pursuant to section 764.3(a)(2) of
the Regulations;
B. Take any action that facilitates the
acquisition or attempted acquisition by
URAL of the ownership, possession, or
control of any item subject to the EAR
that has been or will be exported from
the United States, including financing
or other support activities related to a
transaction whereby URAL acquires or
attempts to acquire such ownership,
possession or control except directly
related to safety of flight and authorized
by BIS pursuant to section 764.3(a)(2) of
the Regulations;
C. Take any action to acquire from or
to facilitate the acquisition or attempted
acquisition from URAL of any item
subject to the EAR that has been
exported from the United States except
directly related to safety of flight and
authorized by BIS pursuant to section
764.3(a)(2) of the Regulations;
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22408
Federal Register / Vol. 88, No. 71 / Thursday, April 13, 2023 / Notices
D. Obtain from URAL in the United
States any item subject to the EAR with
knowledge or reason to know that the
item will be, or is intended to be,
exported from the United States except
directly related to safety of flight and
authorized by BIS pursuant to section
764.3(a)(2) of the Regulations; or
E. Engage in any transaction to service
any item subject to the EAR that has
been or will be exported from the
United States and which is owned,
possessed or controlled by URAL, or
service any item, of whatever origin,
that is owned, possessed or controlled
by URAL if such service involves the
use of any item subject to the EAR that
has been or will be exported from the
United States except directly related to
safety of flight and authorized by BIS
pursuant to section 764.3(a)(2) of the
Regulations. For purposes of this
paragraph, servicing means installation,
maintenance, repair, modification, or
testing.
Third, that, after notice and
opportunity for comment as provided in
section 766.23 of the EAR, any other
person, firm, corporation, or business
organization related to URAL by
ownership, control, position of
responsibility, affiliation, or other
connection in the conduct of trade or
business may also be made subject to
the provisions of this Order.
In accordance with the provisions of
sections 766.24(e) of the EAR, URAL
may, at any time, appeal this Order by
filing a full written statement in support
of the appeal with the Office of the
Administrative Law Judge, U.S. Coast
Guard ALJ Docketing Center, 40 South
Gay Street, Baltimore, Maryland 21202–
4022.
In accordance with the provisions of
section 766.24(d) of the EAR, BIS may
seek renewal of this Order by filing a
written request not later than 20 days
before the expiration date. A renewal
request may be opposed by URAL as
provided in section 766.24(d), by filing
a written submission with the Assistant
Secretary of Commerce for Export
Enforcement, which must be received
not later than seven days before the
expiration date of the Order.
A copy of this Order shall be provided
to URAL and shall be published in the
Federal Register.
This Order is effective immediately
and shall remain in effect for 180 days.
Matthew S. Axelrod,
Assistant Secretary of Commerce for Export
Enforcement.
[FR Doc. 2023–07838 Filed 4–12–23; 8:45 am]
BILLING CODE 3510–DT–P
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17:56 Apr 12, 2023
Jkt 259001
DEPARTMENT OF COMMERCE
National Institute of Standards and
Technology
Hydrometer Calibrations
National Institute of Standards
and Technology, Department of
Commerce.
ACTION: Notice of workshop; request for
comments.
AGENCY:
The National Institute of
Standards and Technology (NIST), an
agency of the United States Department
of Commerce, is examining the
economic impact and continued need
for Hydrometer calibration services as
provided to U.S. industry by the Fluid
Metrology Group on NIST’s campus in
Gaithersburg, Maryland. NIST is also
interested in whether there is a need for
liquid density calibration services not
presently offered by NIST. NIST
publishes this notice to announce a
workshop that will guide NIST planning
for the future of its hydrometer
calibration capabilities, and to request
comments on government and industry
interest in and needs for hydrometer
calibrations. This is part of the effort to
systematically review NIST’s
Measurement Services to assess gaps
and ensure alignment with stakeholders’
needs as discussed in the Government
Accounting Office report GAO–18–445.
DATES:
For Comments: NIST will accept
written responses to this request for
information until 11:59 p.m. Eastern
Time on May 2, 2023. Submissions
received after that date may not be
considered. Written comments in
response to this notice should be
submitted according to the instructions
in the ADDRESSES section below.
For Workshop: A public workshop
will be held on Tuesday May 2, 2023,
from 1:00 p.m. to 3:00 p.m. Eastern
Time, virtually by web conferencing.
Interested parties must register to
participate in the public workshop no
later than 5:00 p.m. Eastern Time on
Monday May 1, 2023, by sending an
email to sherry.sheckels@nist.gov.
ADDRESSES:
For Comments: Comments should be
submitted to Sherry Sheckels, Sensor
Science Division, Physical Measurement
Laboratory, National Institute of
Standards and Technology, 100 Bureau
Drive, Mail Stop 8361, Gaithersburg,
Maryland 20899, or by electronic mail
to sherry.sheckels@nist.gov. Comments
referencing studies, research, and other
empirical data should include copies of
the referenced materials. All comments,
including attachments and other
SUMMARY:
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Frm 00005
Fmt 4703
Sfmt 4703
supporting materials, submitted in
response to this document will become
part of the public record and may be
subject to public disclosure. Therefore,
do not submit confidential business
information or otherwise sensitive,
protected, or personal information, such
as account numbers, Social Security
numbers, or names of other individuals.
For tours: Individuals or groups
interested in touring the liquid density
standard laboratories in person are
welcome and can schedule tours by
writing to the email address,
sherry.sheckels@nist.gov, before or after
the workshop.
FOR FURTHER INFORMATION CONTACT:
Mail: Fluid Metrology Group, Attn:
Sherry Sheckels, Hydrometer
Calibrations, 100 Bureau Drive, Mail
Stop 8361, Gaithersburg, Maryland
20899. Email: Sherry Sheckels at
sherry.sheckels@nist.gov. Phone
number: 301 975–5940.
SUPPLEMENTARY INFORMATION: NIST
provides calibration services for
reference hydrometers to measure liquid
density. These reference standard
hydrometers are generally used as
laboratory standards to calibrate other
hydrometers.
Reference hydrometers accepted for
calibration include specific gravity,
proof spirit for alcohol solutions, API
degrees for petroleum measurements,
degrees Baume heavy and degrees
Baume light, and other arbitrary scales,
all subject to discussion with the
technical contacts. Specific gravity
hydrometers cover the specific gravity
range of 0.65 to 2.
NIST is seeking comments on the
following topics; however, NIST does
not intend to limit the responses to the
topics listed below, provided that the
responses address topics that would be
useful in planning NIST offerings for
liquid density calibrations service.
When addressing the topics below,
respondents may describe the practices
of their organization or organizations
with which they are familiar. Providing
such information is optional and will
not affect NIST’s full consideration of
the comment.
Topics of Interest:
1. Have you purchased hydrometer
calibrations, if any, including:
a. If you have purchased calibrations
from NIST, whether you purchased from
NIST due to convenience, accuracy,
cost, customer service, regulatory
requirement, or some other reason;
b. If NIST was to terminate the
hydrometer calibration service(s) you
presently use, whether you have another
source lined up that would meet your
requirements; and
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]]>Agencies
[Federal Register Volume 88, Number 71 (Thursday, April 13, 2023)]
[Notices]
[Pages 22406-22408]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2023-07838]
=======================================================================
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DEPARTMENT OF COMMERCE
Bureau of Industry and Security
URAL Airlines JSC, Utrenniy Lane 1-g, Yekaterinburg, Russia
620025; Order Renewing Temporary Denial of Export Privileges
Pursuant to section 766.24 of the Export Administration
Regulations, 15 CFR parts 730-774 (2021) (``EAR'' or ``the
Regulations''),\1\ I hereby grant the request of the Office of Export
Enforcement (``OEE'') to renew the temporary denial order (``TDO'')
issued in this matter on October 13, 2022. I find that renewal of this
order is necessary in the public interest to prevent an imminent
violation of the Regulations.
---------------------------------------------------------------------------
\1\ On August 13, 2018, the President signed into law the John
S. McCain National Defense Authorization Act for Fiscal Year 2019,
which includes the Export Control Reform Act of 2018, 50 U.S.C.
4801-4852 (``ECRA''). While section 1766 of ECRA repeals the
provisions of the Export Administration Act, 50 U.S.C. app. 2401 et
seq. (``EAA'') (except for three sections which are inapplicable
here), section 1768 of ECRA provides, in pertinent part, that all
orders, rules, regulations, and other forms of administrative action
that were made or issued under the EAA, including as continued in
effect pursuant to the International Emergency Economic Powers Act,
50 U.S.C. 1701 et seq. (``IEEPA''), and were in effect as of ECRA's
date of enactment (August 13, 2018), shall continue in effect
according to their terms until modified, superseded, set aside, or
revoked through action undertaken pursuant to the authority provided
under ECRA. Moreover, section 1761(a)(5) of ECRA authorizes the
issuance of temporary denial orders. 50 U.S.C. 4820(a)(5).
---------------------------------------------------------------------------
I. Procedural History
On October 13, 2022, I signed an order denying URAL Airlines JSC
(``URAL'') export privileges for a period of 180 days on the ground
that issuance of the order was necessary in the public interest to
prevent an imminent violation of the Regulations. The order was issued
ex parte pursuant to section 766.24(a) of the Regulations and was
effective upon issuance.\2\
---------------------------------------------------------------------------
\2\ The TDO was published in the Federal Register on October 19,
2022 (87 FR 63477).
---------------------------------------------------------------------------
On March 7, 2023, BIS, through OEE, submitted a written request for
renewal of the TDO that issued on October 13, 2022. The written request
was made more than 20 days before the TDO's scheduled expiration. A
copy of the renewal request was sent to URAL in accordance with
sections 766.5 and 766.24(d) of the Regulations. No opposition to the
renewal of the TDO has been received.
II. Renewal of the TDO
A. Legal Standard
Pursuant to section 766.24, BIS may issue an order temporarily
denying a respondent's export privileges upon a showing that the order
is necessary in the public interest to prevent an ``imminent
violation'' of the Regulations, or any order, license or authorization
issued thereunder. 15 CFR 766.24(b)(1) and 766.24(d). ``A violation may
be `imminent' either in time or degree of likelihood.'' 15 CFR
766.24(b)(3). BIS may show ``either that a violation is about to occur,
or that the general circumstances of the matter under investigation or
case under criminal or administrative charges demonstrate a likelihood
of future violations.'' Id. As to the likelihood of future violations,
BIS may show that the violation under investigation or charge ``is
significant, deliberate, covert and/or likely to occur again, rather
than technical or negligent[.]'' Id. A ``lack of information
establishing the precise time a violation may occur does not preclude a
finding that a violation is imminent, so long as there is sufficient
reason to believe the likelihood of a violation.'' Id.
B. The TDO and BIS's Request for Renewal
The U.S. Commerce Department, through BIS, responded to the Russian
Federation's (``Russia's'') further invasion of Ukraine by implementing
a sweeping series of stringent export controls that severely restrict
Russia's access to technologies and other items that it needs to
sustain its aggressive military capabilities. These controls primarily
target Russia's defense, aerospace, and maritime sectors and are
intended to cut off Russia's access to vital technological inputs,
atrophy key sectors of its industrial base, and undercut Russia's
strategic ambitions to exert influence on the world stage. Effective
February 24, 2022, BIS imposed expansive controls on aviation-related
(e.g., Commerce Control List Categories 7 and 9) items to Russia,
including a license requirement for the export, reexport or transfer
(in-country) to Russia of any aircraft or aircraft parts specified in
Export Control Classification Number (ECCN) 9A991 (section 746.8(a)(1)
of the EAR).\3\ BIS will review any export or reexport license
applications for such items under a policy of denial. See section
746.8(b). Effective March 2, 2022, BIS excluded any aircraft registered
in, owned, or controlled by, or under charter or lease by Russia or a
national of Russia from being eligible for license exception Aircraft,
Vessels, and Spacecraft (AVS) (section 740.15 of the EAR).\4\
Accordingly, any U.S.-origin aircraft or foreign aircraft that includes
more than 25% controlled U.S.-origin content, and that is registered
in, owned, or controlled by, or under charter or lease by Russia or a
national of Russia, is subject to a license requirement before it can
travel to Russia.
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\3\ 87 FR 12226 (Mar. 3, 2022). Additionally, BIS published a
final rule effective April 8, 2022, which imposed licensing
requirements on items controlled on the Commerce Control List
(``CCL'') under Categories 0-2 that are destined for Russia or
Belarus. Accordingly, now all CCL items require export, reexport,
and transfer (in-country) licenses if destined for or within Russia
or Belarus. 87 FR 22130 (Apr. 14, 2022).
\4\ 87 FR 13048 (Mar. 8, 2022).
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OEE's request for renewal is based upon the facts underlying the
issuance of the initial TDO and the evidence developed over the course
of this investigation, which indicate a blatant disregard for U.S.
export controls, as well as the TDO. Specifically, the initial TDO,
issued on October 13, 2022, was based on evidence that URAL engaged in
conduct prohibited by the Regulations by operating aircraft subject to
the EAR and classified under ECCN 9A991 on flights into Russia after
March 2, 2022 from destinations, including Bishkek, Kyrgyzstan;
Dushanbe, Tajikistan; Khudzhand, Tajikistan; and Tamchy, Kyrgyzstan,
without the required BIS authorization.\5\ Further evidence submitted
by BIS indicated that URAL was continuing to operate aircraft subject
to the EAR domestically
[[Page 22407]]
on flights within Russia, potentially in violation of section
736.2(b)(10) of the Regulations.
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\5\ Publicly available flight tracking information shows
multiple flights into Russia, including the following: on September
10, 2022, SN 5055 flew from Dushanbe, Tajikistan to Irkutsk, Russia,
and on September 6, 2022, SN 5055 flew from Khudzhand, Tajikistan to
Sochi, Russia. In addition, on October 6, 2022, serial number (SN)
5055 flew from Bishkek, Kyrgyzstan to Samara, Russia.
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In its March 7, 2023 request for renewal of the TDO, BIS has
submitted evidence that URAL continues to operate in violation of the
October 13, 2022 TDO and/or the Regulations by operating aircraft
subject to the EAR and classified under ECCN 9A991 on flights into and
out of Russia, as well as domestically within Russia. Specifically,
BIS's evidence and related investigation indicated that URAL has
continued to operate aircraft subject to the EAR, including, but not
limited to, on flights into and out of Russia from/to Bishkek,
Kyrgyzstan, Dushanbe, Tajikistan, and Khujand, Tajikistan. Information
about those flights includes, but is not limited to, the following:
----------------------------------------------------------------------------------------------------------------
Departure/arrival
Tail No. Serial No. Aircraft type cities Dates
----------------------------------------------------------------------------------------------------------------
RA-73817......................... 5055 A320-232 Dushanbe, TJ/Ufa, RU March 20, 2023.
RA-73817......................... 5055 A320-232 Osh, KG/Ufa, RU..... March 19, 2023.
RA-73817......................... 5055 A320-232 Osh, KG/Krasnoyarsk, March 19, 2023.
RU.
RA-73817......................... 5055 A320-232 Yekaterinburg, RU/ March 16, 2023.
Moscow, RU.
RA-73817......................... 5055 A320-232 Irkutsk, RU/Moscow, March 11, 2023.
RU.
RA-73817......................... 5055 A320-232 Yekaterinburg, RU/ March 7, 2023.
Moscow, RU.
RA-73817......................... 5055 A320-232 Moscow, RU/ March 5, 2023.
Yekaterinburg, RU.
RA-73817......................... 5055 A320-232 Dushanbe, TJ/ February 27, 2023.
Chelyabinsk, RU.
RA-73817......................... 5055 A320-232 Dushanbe, TJ/ February 25, 2023.
Novosibirsk, RU.
RA-73818......................... 2376 A320-232 Bishkek, KG/ March 19, 2023.
Yekaterinburg, RU.
RA-73818......................... 2376 A320-232 Moscow, RU/ March 14, 2023.
Yekaterinburg, RU.
RA-73818......................... 2376 A320-232 Yekaterinburg, RU/ March 11, 2023.
Sochi, RU.
RA-73818......................... 2376 A320-232 Kaliningrad, RU/ March 7, 2023.
Moscow, RU.
RA-73818......................... 2376 A320-232 Moscow, RU/ March 7, 2023.
Kaliningrad, RU.
RA-73818......................... 2376 A320-232 Dushanbe, TJ/Sochi, March 2, 2023.
RU.
RA-73818......................... 2376 A320-232 Dushanbe, TJ/Kazan, February 24, 2023.
RU.
RA-73844......................... 1941 A321-231 Dushanbe, TJ/ March 21, 2023.
Yekaterinburg, RU.
RA-73844......................... 1941 A321-231 Osh, KG/ March 20, 2023.
Yekaterinburg, RU.
RA-73844......................... 1941 A321-231 Dushanbe, TJ/ March 19, 2023.
Yekaterinburg, RU.
RA-73844......................... 1941 A321-231 Sochi, RU/ March 19, 2023.
Yekaterinburg, RU.
RA-73844......................... 1941 A321-231 Dushanbe, TJ/ March 19, 2023.
Yekaterinburg, RU.
RA-73844......................... 1941 A321-231 Sochi, RU/Moscow, RU March 16, 2023.
RA-73844......................... 1941 A321-231 Kulob, TJ/Moscow, RU March 15, 2023.
RA-73844......................... 1941 A321-231 Sochi, RU/ March 12, 2023.
Yekaterinburg, RU.
RA-73844......................... 1941 A321-231 Khujand, TJ/ March 11, 2023.
Yekaterinburg, RU.
RA-73844......................... 1941 A321-231 Khujand, TJ/ March 6, 2023.
Yekaterinburg, RU.
----------------------------------------------------------------------------------------------------------------
III. Findings
Under the applicable standard set forth in section 766.24 of the
Regulations and my review of the entire record, I find that the
evidence presented by BIS convincingly demonstrates that URAL has acted
in violation of the Regulations and the TDO; that such violations have
been significant, deliberate and covert; and that given the foregoing
and the nature of the matters under investigation, there is a
likelihood of imminent violations. Therefore, renewal of the TDO is
necessary in the public interest to prevent imminent violation of the
Regulations and to give notice to companies and individuals in the
United States and abroad that they should avoid dealing with URAL in
connection with export and reexport transactions involving items
subject to the Regulations and in connection with any other activity
subject to the Regulations.
IV. Order
It is therefore ordered:
First, URAL Airlines JSC, Utrenniy Lane 1-g, Yekaterinburg, Russia,
620025, when acting for or on their behalf, any successors or assigns,
agents, or employees may not, directly or indirectly, participate in
any way in any transaction involving any commodity, software or
technology (hereinafter collectively referred to as ``item'') exported
or to be exported from the United States that is subject to the EAR, or
in any other activity subject to the EAR including, but not limited to:
A. Applying for, obtaining, or using any license (except directly
related to safety of flight), license exception, or export control
document;
B. Carrying on negotiations concerning, or ordering, buying,
receiving, using, selling, delivering, storing, disposing of,
forwarding, transporting, financing, or otherwise servicing in any way,
any transaction involving any item exported or to be exported from the
United States that is subject to the EAR except directly related to
safety of flight and authorized by BIS pursuant to section 764.3(a)(2)
of the Regulations, or engaging in any other activity subject to the
EAR except directly related to safety of flight and authorized by BIS
pursuant to section 764.3(a)(2) of the Regulations; or
C. Benefitting in any way from any transaction involving any item
exported or to be exported from the United States that is subject to
the EAR, or from any other activity subject to the EAR except directly
related to safety of flight and authorized by BIS pursuant to section
764.3(a)(2) of the Regulations.
Second, that no person may, directly or indirectly, do any of the
following:
A. Export, reexport, or transfer (in-country) to or on behalf of
URAL any item subject to the EAR except directly related to safety of
flight and authorized by BIS pursuant to section 764.3(a)(2) of the
Regulations;
B. Take any action that facilitates the acquisition or attempted
acquisition by URAL of the ownership, possession, or control of any
item subject to the EAR that has been or will be exported from the
United States, including financing or other support activities related
to a transaction whereby URAL acquires or attempts to acquire such
ownership, possession or control except directly related to safety of
flight and authorized by BIS pursuant to section 764.3(a)(2) of the
Regulations;
C. Take any action to acquire from or to facilitate the acquisition
or attempted acquisition from URAL of any item subject to the EAR that
has been exported from the United States except directly related to
safety of flight and authorized by BIS pursuant to section 764.3(a)(2)
of the Regulations;
[[Page 22408]]
D. Obtain from URAL in the United States any item subject to the
EAR with knowledge or reason to know that the item will be, or is
intended to be, exported from the United States except directly related
to safety of flight and authorized by BIS pursuant to section
764.3(a)(2) of the Regulations; or
E. Engage in any transaction to service any item subject to the EAR
that has been or will be exported from the United States and which is
owned, possessed or controlled by URAL, or service any item, of
whatever origin, that is owned, possessed or controlled by URAL if such
service involves the use of any item subject to the EAR that has been
or will be exported from the United States except directly related to
safety of flight and authorized by BIS pursuant to section 764.3(a)(2)
of the Regulations. For purposes of this paragraph, servicing means
installation, maintenance, repair, modification, or testing.
Third, that, after notice and opportunity for comment as provided
in section 766.23 of the EAR, any other person, firm, corporation, or
business organization related to URAL by ownership, control, position
of responsibility, affiliation, or other connection in the conduct of
trade or business may also be made subject to the provisions of this
Order.
In accordance with the provisions of sections 766.24(e) of the EAR,
URAL may, at any time, appeal this Order by filing a full written
statement in support of the appeal with the Office of the
Administrative Law Judge, U.S. Coast Guard ALJ Docketing Center, 40
South Gay Street, Baltimore, Maryland 21202-4022.
In accordance with the provisions of section 766.24(d) of the EAR,
BIS may seek renewal of this Order by filing a written request not
later than 20 days before the expiration date. A renewal request may be
opposed by URAL as provided in section 766.24(d), by filing a written
submission with the Assistant Secretary of Commerce for Export
Enforcement, which must be received not later than seven days before
the expiration date of the Order.
A copy of this Order shall be provided to URAL and shall be
published in the Federal Register.
This Order is effective immediately and shall remain in effect for
180 days.
Matthew S. Axelrod,
Assistant Secretary of Commerce for Export Enforcement.
[FR Doc. 2023-07838 Filed 4-12-23; 8:45 am]
BILLING CODE 3510-DT-P
