Rossiya Airlines, Pilotov St 18-4, St. Petersburg, Russia, 196210; Order Renewing Temporary Denial of Export Privileges, 31483-31485 [2023-10504]
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Federal Register / Vol. 88, No. 95 / Wednesday, May 17, 2023 / Notices
Estimated Annual Number of
Responses per Respondent: 1.
Estimated Total Annual Burden on
Respondents: 1 hour.
Title of Collection: Burden Hours for
FS–1500–35: Certificate Regarding
Lobbying Activities.
Estimate of Annual Burden: 4.00
hours.
Type of Respondents: Tribal and State
applicants.
Estimated Annual Number of
Respondents: 8.
Estimated Annual Number of
Responses per Respondent: 1.
Estimated Total Annual Burden on
Respondents: 0.25 hours.
Title of Collection: Burden Hours for
FS–1500–22: Financial Capability
Questionnaire.
Estimate of Annual Burden: 2.0 hours.
Type of Respondents: Tribal and State
applicants.
Estimated Annual Number of
Respondents: 8.
Estimated Annual Number of
Responses per Respondent: 1.
Estimated Total Annual Burden on
Respondents: 0.25 hours.
Title of Collection: Burden Hours for
FS–1500–23: Optional Project
Performance Report.
Estimate of Annual Burden: 24.00
hours.
Type of Respondents: Tribal and State
applicants.
Estimated Annual Number of
Respondents: 8.
Estimated Annual Number of
Responses per Respondent: 1.
Estimated Total Annual Burden on
Respondents: 3.00 hours.
ddrumheller on DSK120RN23PROD with NOTICES1
Total Annual Burden for Request for
Common Use Forms Is 118 Hours
Comment Is Invited: Comment is
invited on: (1) Whether this collection
of information is necessary for the stated
purposes and the proper performance of
the functions of the Agency, including
whether the information will have
practical or scientific utility; (2) the
accuracy of the Agency’s estimate of the
burden of the collection of information,
including the validity of the
methodology and assumptions used; (3)
ways to enhance the quality, utility, and
clarity of the information to be
collected; and (4) ways to minimize the
burden of the collection of information
on respondents, including the use of
automated, electronic, mechanical, or
other technological collection
techniques or other forms of information
technology.
All comments received in response to
this notice, including names and
addresses when provided, will be a
VerDate Sep<11>2014
18:34 May 16, 2023
Jkt 259001
matter of public record. Comments will
be summarized and included in the
submission request for Office of
Management and Budget approval.
Jaelith Hall Rivera,
Deputy Chief, State, Private, and Tribal
Forestry.
[FR Doc. 2023–10451 Filed 5–16–23; 8:45 am]
BILLING CODE 3411–15–P
DEPARTMENT OF COMMERCE
31483
Regulations.3 The renewal order was
issued on November 15, 2022 and was
effective upon issuance.4
On April 20, 2023, BIS, through OEE,
submitted a written request for renewal
of the TDO that issued on November 15,
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 Rossiya in
accordance with sections 766.5 and
766.24(d) of the Regulations. No
opposition to the renewal of the TDO
has been received.
Bureau of Industry and Security
II. Renewal of the TDO
Rossiya Airlines, Pilotov St 18–4, St.
Petersburg, Russia, 196210; Order
Renewing Temporary Denial of Export
Privileges
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.
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 November 15, 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 May 20, 2022, I signed an order
denying the export privileges of Rossiya
Airlines (‘‘Rossiya’’) 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 This
temporary denial order was
subsequently renewed in accordance
with section 766.24(d) of the
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).
2 The TDO was published in the Federal Register
on May 25, 2022 (87 FR 31856).
PO 00000
Frm 00006
Fmt 4703
Sfmt 4703
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
3 Section 766.24(d) provides that BIS may seek
renewal of a temporary denial order for additional
180-day renewal periods, if it believes that renewal
is necessary in the public interest to prevent an
imminent violation. Renewal requests are to be
made in writing no later than 20 days before the
scheduled expiration date of a temporary denial
order.
4 The November 15, 2022 renewal order was
published in the Federal Register on November 21,
2022 (87 FR 70780).
E:\FR\FM\17MYN1.SGM
17MYN1
31484
Federal Register / Vol. 88, No. 95 / Wednesday, May 17, 2023 / Notices
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 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).5 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).6 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
ddrumheller on DSK120RN23PROD with NOTICES1
Tail No.
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 May 20, 2022, was
based on evidence that Rossiya engaged
in conduct prohibited by the
Regulations by operating multiple
aircraft subject to the EAR and classified
under ECCN 9A991.b on flights into
Russia after March 2, 2022 from
destinations including, but not limited
to, Hurghada, Egypt; Sharm el-Sheikh,
Egypt; Dubai, United Arab Emirates; and
Sharjah, United Arab Emirates, without
the required BIS authorization.7 Further
evidence submitted by BIS indicated
that Rossiya was continuing to operate
aircraft subject to the EAR domestically
on flights within Russia, potentially in
violation of section 736.2(b)(10) of the
Regulations.
As discussed in the November 15,
2022 renewal order, evidence presented
by BIS indicated that, after the initial
order issued, Rossiya continued to
operate aircraft subject to the EAR and
classified under ECCN 9A991.b on
flights both into and within Russia, in
violation of the Regulations and the
Serial No.
Aircraft type
Departure/arrival cities
Sharm el-Sheikh, EG/Moscow, RU.
Istanbul, TR/Moscow, RU ......
Sharm el-Sheikh,
Yekaterinburg, RU.
Hurghada, EG/Moscow, RU ..
Hurghada, EG/Kazan, RU .....
Antalya, TR/Moscow, RU ......
Hurghada, EG/Yekaterinburg,
RU.
Istanbul, TR/Moscow, RU ......
Magadan, RU/Moscow, RU ...
Moscow, RU/Magadan, RU ...
Khabarovsk, RU/Moscow, RU
Colombo, LK/Moscow, RU .....
Moscow, RU/Anadyr, RU .......
Magadan, RU/Anadyr, RU .....
Yuzhno-Sakhalinsk, RU/Moscow, RU.
Hurghada, EG/Moscow, RU ..
Antalya TR/St. Petersburg,
RU.
Antalya, TR/St. Petersburg,
RU.
RA–73188 ..............................
34900
737–8GJ (B738) ....................
RA–73188 ..............................
RA–73188 ..............................
34900
34900
737–8GJ (B738) ....................
737–8GJ (B738) ....................
RA–73188
RA–73192
RA–73192
RA–73192
..............................
..............................
..............................
..............................
34900
34897
34897
34897
737–8GJ
737–8GJ
737–8GJ
737–8GJ
(B738)
(B738)
(B738)
(B738)
....................
....................
....................
....................
RA–73192
RA–73292
RA–73292
RA–73292
RA–73292
RA–73279
RA–73279
RA–73279
..............................
..............................
..............................
..............................
..............................
..............................
..............................
..............................
34897
28531
28531
28531
28531
28515
28515
28515
737–8GJ (B738)
777–312 (B773)
777–312 (B773)
777–312 (B773)
777–312 (B773)
777–312 (B773)
777–312 (B773)
777–312 (B773)
....................
.....................
.....................
.....................
.....................
.....................
.....................
.....................
RA–73279 ..............................
RA–73218 ..............................
28515
35278
777–312 (B773) .....................
737–8Q8 (B738) ....................
RA–73218 ..............................
35278
737–8Q8 (B738) ....................
5 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
VerDate Sep<11>2014
18:34 May 16, 2023
Jkt 259001
if destined for or within Russia or Belarus. 87 FR
22130 (Apr. 14, 2022).
6 87 FR 13048 (Mar. 8, 2022).
7 Publicly available flight tracking information
shows that on March 8, 2022, serial number (SN)
27650 flew from Hurghada, Egypt to Moscow,
Russia. On March 6, 2022, SN 41212 flew from
Sharm el-Sheikh, Egypt to St. Petersburg, Russia
PO 00000
TDO itself.8 Specifically, the November
15, 2022 renewal order detailed that
Rossiya has continued to operate aircraft
subject to the EAR, which were flown
into Russia on or after March 2, 2022,
or on flights within Russia, including,
but not limited to, between such cities
as Anadyr, Russia; Kaliningrad, Russia;
Khaborovsk, Russia; Magadan, Russia;
and Moscow, Russia, in violation of
Section 736.2(b)(10) of the Regulations,
as well as into Russia on flights from
Antalya and Istanbul, Turkey.
Since that time, Rossiya has
continued to engage in conduct
prohibited by the applicable TDO and
Regulations. In its April 20, 2023
request for renewal of the TDO, BIS
submitted evidence that Rossiya is
operating aircraft subject to the EAR and
classified under ECCN 9A991.b, both on
flights into and within Russia, in
violation of the November 15, 2022
renewal TDO and/or the Regulations.
Specifically, BIS’s evidence and related
investigation demonstrates that Rossiya
has continued to operate aircraft subject
to the EAR, including, but not limited
to, on flights into and out of Russia
from/to Sharm el-Sheikh, Egypt;
Hurghada, Egypt; Istanbul, Turkey; and
Antalya, Turkey, as well as domestically
within Russia. Information about those
flights includes, but is not limited to,
the following:
Frm 00007
Fmt 4703
Sfmt 4703
Dates
March 20, 2023.
March 17, 2023.
March 16, 2023.
March 15, 2023.
May 1, 2023.
April 25, 2023.
April 22, 2023.
March 16, 2023.
April 21, 2023.
April 20, 2023.
April 17, 2023.
March 16, 2022.
April 27, 2023.
April 25, 2023.
April 20, 2023.
March 7, 2022.
April 26, 2023.
April 26, 2023.
and SN 44435 flew from Dubai, United Arab
Emirates to St. Petersburg, Russia. In addition, on
March 7, 2022, SN 41202 flew from Sharjah, United
Arab Emirates to Moscow, Russia.
8 Engaging in conduct prohibited by a denial
order violates the Regulations. 15 CFR 764.2(a) and
(k).
E:\FR\FM\17MYN1.SGM
17MYN1
31485
Federal Register / Vol. 88, No. 95 / Wednesday, May 17, 2023 / Notices
Tail No.
Serial No.
Departure/arrival cities
Antalya, TR/St. Petersburg,
RU.
Antalya, TR/Moscow, RU .......
Istanbul, TR/Moscow, RU ......
RA–73218 ..............................
35278
737–8Q8 (B738) ....................
RA–73218 ..............................
RA–73218 ..............................
35278
35278
737–8Q8 (B738) ....................
737–8Q8 (B738) ....................
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 Rossiya 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 Rossiya, 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
ddrumheller on DSK120RN23PROD with NOTICES1
Aircraft type
It is therefore ordered:
First, Rossiya Airlines, Pilotov St. 18–
4, St. Petersburg, Russia, 196210, 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
VerDate Sep<11>2014
18:34 May 16, 2023
Jkt 259001
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 (incountry) to or on behalf of Rossiya 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
Rossiya 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 Rossiya 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 Rossiya 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;
D. Obtain from Rossiya 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 Rossiya, or
service any item, of whatever origin,
that is owned, possessed or controlled
by Rossiya 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
PO 00000
Frm 00008
Fmt 4703
Sfmt 4703
Dates
April 23, 2023.
April 22, 2023.
January 27, 2023.
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 Rossiya 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, Rossiya
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 Rossiya 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 Rossiya, 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. 2023–10504 Filed 5–16–23; 8:45 am]
BILLING CODE 3510–DT–P
DEPARTMENT OF COMMERCE
International Trade Administration
[A–570–147]
Paper File Folders From the People’s
Republic of China: Preliminary
Affirmative Determination of Sales at
Less Than Fair Value
Enforcement and Compliance,
International Trade Administration,
Department of Commerce.
AGENCY:
E:\FR\FM\17MYN1.SGM
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]]>Agencies
[Federal Register Volume 88, Number 95 (Wednesday, May 17, 2023)]
[Notices]
[Pages 31483-31485]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2023-10504]
=======================================================================
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DEPARTMENT OF COMMERCE
Bureau of Industry and Security
Rossiya Airlines, Pilotov St 18-4, St. Petersburg, Russia,
196210; 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 November 15, 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 May 20, 2022, I signed an order denying the export privileges of
Rossiya Airlines (``Rossiya'') 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\ This temporary denial order was
subsequently renewed in accordance with section 766.24(d) of the
Regulations.\3\ The renewal order was issued on November 15, 2022 and
was effective upon issuance.\4\
---------------------------------------------------------------------------
\2\ The TDO was published in the Federal Register on May 25,
2022 (87 FR 31856).
\3\ Section 766.24(d) provides that BIS may seek renewal of a
temporary denial order for additional 180-day renewal periods, if it
believes that renewal is necessary in the public interest to prevent
an imminent violation. Renewal requests are to be made in writing no
later than 20 days before the scheduled expiration date of a
temporary denial order.
\4\ The November 15, 2022 renewal order was published in the
Federal Register on November 21, 2022 (87 FR 70780).
---------------------------------------------------------------------------
On April 20, 2023, BIS, through OEE, submitted a written request
for renewal of the TDO that issued on November 15, 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 Rossiya 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
[[Page 31484]]
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).\5\ 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).\6\
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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\5\ 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).
\6\ 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 May 20, 2022, was based on evidence that Rossiya engaged in
conduct prohibited by the Regulations by operating multiple aircraft
subject to the EAR and classified under ECCN 9A991.b on flights into
Russia after March 2, 2022 from destinations including, but not limited
to, Hurghada, Egypt; Sharm el-Sheikh, Egypt; Dubai, United Arab
Emirates; and Sharjah, United Arab Emirates, without the required BIS
authorization.\7\ Further evidence submitted by BIS indicated that
Rossiya was continuing to operate aircraft subject to the EAR
domestically on flights within Russia, potentially in violation of
section 736.2(b)(10) of the Regulations.
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\7\ Publicly available flight tracking information shows that on
March 8, 2022, serial number (SN) 27650 flew from Hurghada, Egypt to
Moscow, Russia. On March 6, 2022, SN 41212 flew from Sharm el-
Sheikh, Egypt to St. Petersburg, Russia and SN 44435 flew from
Dubai, United Arab Emirates to St. Petersburg, Russia. In addition,
on March 7, 2022, SN 41202 flew from Sharjah, United Arab Emirates
to Moscow, Russia.
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As discussed in the November 15, 2022 renewal order, evidence
presented by BIS indicated that, after the initial order issued,
Rossiya continued to operate aircraft subject to the EAR and classified
under ECCN 9A991.b on flights both into and within Russia, in violation
of the Regulations and the TDO itself.\8\ Specifically, the November
15, 2022 renewal order detailed that Rossiya has continued to operate
aircraft subject to the EAR, which were flown into Russia on or after
March 2, 2022, or on flights within Russia, including, but not limited
to, between such cities as Anadyr, Russia; Kaliningrad, Russia;
Khaborovsk, Russia; Magadan, Russia; and Moscow, Russia, in violation
of Section 736.2(b)(10) of the Regulations, as well as into Russia on
flights from Antalya and Istanbul, Turkey.
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\8\ Engaging in conduct prohibited by a denial order violates
the Regulations. 15 CFR 764.2(a) and (k).
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Since that time, Rossiya has continued to engage in conduct
prohibited by the applicable TDO and Regulations. In its April 20, 2023
request for renewal of the TDO, BIS submitted evidence that Rossiya is
operating aircraft subject to the EAR and classified under ECCN
9A991.b, both on flights into and within Russia, in violation of the
November 15, 2022 renewal TDO and/or the Regulations. Specifically,
BIS's evidence and related investigation demonstrates that Rossiya has
continued to operate aircraft subject to the EAR, including, but not
limited to, on flights into and out of Russia from/to Sharm el-Sheikh,
Egypt; Hurghada, Egypt; Istanbul, Turkey; and Antalya, Turkey, as well
as domestically within Russia. Information about those flights
includes, but is not limited to, the following:
----------------------------------------------------------------------------------------------------------------
Departure/arrival
Tail No. Serial No. Aircraft type cities Dates
----------------------------------------------------------------------------------------------------------------
RA-73188......................... 34900 737-8GJ (B738)..... Sharm el-Sheikh, EG/ March 20, 2023.
Moscow, RU.
RA-73188......................... 34900 737-8GJ (B738)..... Istanbul, TR/ March 17, 2023.
Moscow, RU.
RA-73188......................... 34900 737-8GJ (B738)..... Sharm el-Sheikh, March 16, 2023.
Yekaterinburg, RU.
RA-73188......................... 34900 737-8GJ (B738)..... Hurghada, EG/ March 15, 2023.
Moscow, RU.
RA-73192......................... 34897 737-8GJ (B738)..... Hurghada, EG/Kazan, May 1, 2023.
RU.
RA-73192......................... 34897 737-8GJ (B738)..... Antalya, TR/Moscow, April 25, 2023.
RU.
RA-73192......................... 34897 737-8GJ (B738)..... Hurghada, EG/ April 22, 2023.
Yekaterinburg, RU.
RA-73192......................... 34897 737-8GJ (B738)..... Istanbul, TR/ March 16, 2023.
Moscow, RU.
RA-73292......................... 28531 777-312 (B773)..... Magadan, RU/Moscow, April 21, 2023.
RU.
RA-73292......................... 28531 777-312 (B773)..... Moscow, RU/Magadan, April 20, 2023.
RU.
RA-73292......................... 28531 777-312 (B773)..... Khabarovsk, RU/ April 17, 2023.
Moscow, RU.
RA-73292......................... 28531 777-312 (B773)..... Colombo, LK/Moscow, March 16, 2022.
RU.
RA-73279......................... 28515 777-312 (B773)..... Moscow, RU/Anadyr, April 27, 2023.
RU.
RA-73279......................... 28515 777-312 (B773)..... Magadan, RU/Anadyr, April 25, 2023.
RU.
RA-73279......................... 28515 777-312 (B773)..... Yuzhno-Sakhalinsk, April 20, 2023.
RU/Moscow, RU.
RA-73279......................... 28515 777-312 (B773)..... Hurghada, EG/ March 7, 2022.
Moscow, RU.
RA-73218......................... 35278 737-8Q8 (B738)..... Antalya TR/St. April 26, 2023.
Petersburg, RU.
RA-73218......................... 35278 737-8Q8 (B738)..... Antalya, TR/St. April 26, 2023.
Petersburg, RU.
[[Page 31485]]
RA-73218......................... 35278 737-8Q8 (B738)..... Antalya, TR/St. April 23, 2023.
Petersburg, RU.
RA-73218......................... 35278 737-8Q8 (B738)..... Antalya, TR/Moscow, April 22, 2023.
RU.
RA-73218......................... 35278 737-8Q8 (B738)..... Istanbul, TR/ January 27, 2023.
Moscow, 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 Rossiya 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 Rossiya,
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, Rossiya Airlines, Pilotov St. 18-4, St. Petersburg, Russia,
196210, 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
Rossiya 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 Rossiya 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 Rossiya 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 Rossiya 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;
D. Obtain from Rossiya 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 Rossiya, or service any item, of
whatever origin, that is owned, possessed or controlled by Rossiya 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 Rossiya 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,
Rossiya 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 Rossiya 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 Rossiya, 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. 2023-10504 Filed 5-16-23; 8:45 am]
BILLING CODE 3510-DT-P
