Nordwind Airlines, Leningradskaya str., Building 25, Office 27. 28, Moscow Region, Khimki City,141402, Russia; Order Renewing Temporary Denial of Export Privileges, 86623-86626 [2023-27475]
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Federal Register / Vol. 88, No. 239 / Thursday, December 14, 2023 / Notices
e.g., permitting electronic submissions
of responses.
Tania Alfonso,
PPL/LER, Program Cycle Supervisory Team
Lead, USAID.
[FR Doc. 2023–27487 Filed 12–13–23; 8:45 am]
BILLING CODE 6116–01–P
AGENCY FOR INTERNATIONAL
DEVELOPMENT
Background Investigator Quality
Control Survey
Dated: December 11, 2023.
Elizabeth Whiteman,
Executive Secretary.
USAID.
Availability of survey.
AGENCY:
ACTION:
Quality control survey to
allow the USAID Office of Security
Field Investigations program to obtain
feedback on its background investigator
workforce from members of the general
public who are interviewed by USAID
background investigators.
DATES: Written comments and
recommendations for the proposed
information collection should be sent
within 30 days of publication of this
notice to www.reginfo.gov/public/do/
PRAMain. Find this particular
information collection by selecting
‘‘Currently under 30-day Review—Open
for Public Comments’’ or by using the
search function.
ADDRESSES: USAID, SEC/FI, 1300
Pennsylvania Ave. NW, 4th Floor,
Washington, DC 20523.
FOR FURTHER INFORMATION CONTACT:
Brian Shemonsky, (202) 712–1734,
bshemonsky@usaid.gov.
SUPPLEMENTARY INFORMATION: USAID
currently conducts this quality control
process via U.S. Mail and telephone
calls. The agency is seeking to both
modernize and simplify this process.
Brian Shemonsky,
Background Investigations Program Manager.
[FR Doc. 2023–27430 Filed 12–13–23; 8:45 am]
BILLING CODE 6116–01–P
DEPARTMENT OF COMMERCE
Foreign-Trade Zones Board
lotter on DSK11XQN23PROD with NOTICES1
[B–48–2023]
Foreign-Trade Zone (FTZ) 164;
Authorization of Production Activity;
Vallourec Star, LP; (Semi-Finished
Steel Casing); Muskogee, Oklahoma
On August 11, 2023, Vallourec Star,
LP submitted a notification of proposed
production activity to the FTZ Board for
its facility within Subzone 164A, in
Muskogee, Oklahoma.
17:39 Dec 13, 2023
Jkt 262001
DEPARTMENT OF COMMERCE
Foreign-Trade Zones Board
[S–233–2023]
Foreign-Trade Zone 24; Application for
Subzone; GMA Accessories DBA
Capelli New York; Pittston,
Pennsylvania
An application has been submitted to
the Foreign-Trade Zones (FTZ) Board by
the Eastern Distribution Center, Inc.,
grantee of FTZ 24, requesting subzone
status for the facility of GMA
Accessories DBA Capelli New York
(Capelli), located in Pittston,
Pennsylvania. The application was
submitted pursuant to the provisions of
the Foreign-Trade Zones Act, as
amended (19 U.S.C. 81a–81u), and the
regulations of the FTZ Board (15 CFR
part 400). It was formally docketed on
December 8, 2023.
The proposed subzone (28.08 acres) is
located at 901 Sathers Drive, Pittston,
Pennsylvania. No authorization for
production activity has been requested
at this time. The proposed subzone
would be subject to the existing
activation limit of FTZ 24.
In accordance with the FTZ Board’s
regulations, Juanita Chen of the FTZ
Staff is designated examiner to review
the application and make
recommendations to the Executive
Secretary.
Public comment is invited from
interested parties. Submissions shall be
addressed to the FTZ Board’s Executive
Secretary and sent to: ftz@trade.gov. The
closing period for their receipt is
January 23, 2024. Rebuttal comments in
response to material submitted during
the foregoing period may be submitted
during the subsequent 15-day period to
February 7, 2024.
A copy of the application will be
available for public inspection in the
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Dated: December 11, 2023.
Elizabeth Whiteman,
Executive Secretary.
[FR Doc. 2023–27483 Filed 12–13–23; 8:45 am]
BILLING CODE 3510–DS–P
Bureau of Industry and Security
BILLING CODE 3510–DS–P
PO 00000
‘‘Online FTZ Information Section’’
section of the FTZ Board’s website,
which is accessible via www.trade.gov/
ftz.
For further information, contact
Juanita Chen at juanita.chen@trade.gov.
DEPARTMENT OF COMMERCE
[FR Doc. 2023–27481 Filed 12–13–23; 8:45 am]
SUMMARY:
VerDate Sep<11>2014
The notification was processed in
accordance with the regulations of the
FTZ Board (15 CFR part 400), including
notice in the Federal Register inviting
public comment (88 FR 56589, August
18, 2023). On December 11, 2023, the
applicant was notified of the FTZ
Board’s decision that no further review
of the activity is warranted at this time.
The production activity described in the
notification was authorized, subject to
the FTZ Act and the FTZ Board’s
regulations, including section 400.14.
86623
Nordwind Airlines, Leningradskaya
str., Building 25, Office 27. 28, Moscow
Region, Khimki City,141402, Russia;
Order Renewing Temporary Denial of
Export Privileges
Pursuant to Section 766.24 of the
Export Administration Regulations, 15
CFR parts 730–774 (‘‘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 June 15, 2023. I find
that renewal of this order is necessary
in the public interest to prevent an
imminent violation of the Regulations
and that renewal for an extended period
is appropriate because Nordwind
Airlines (‘‘Nordwind’’) has engaged in a
pattern of repeated, ongoing and/or
continuous apparent violations of the
EAR.
I. Procedural History
On June 24, 2022, I signed an order
denying Nordwind’s 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
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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Federal Register / Vol. 88, No. 239 / Thursday, December 14, 2023 / Notices
and was effective upon issuance.2 The
TDO was subsequently renewed on
December 20, 2022 3 and again on June
15, 2023,4 in accordance with Section
766.24(d) of the Regulations.5
On November 21, 2023, BIS, through
OEE, submitted a written request for a
third renewal of the TDO. The written
request was made more than 20 days
before the TDO’s scheduled expiration
and, given the temporary suspension of
international mail service to Russia,
OEE has attempted to serve a copy of
the renewal request on Nordwind 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
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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.
2 The TDO was published in the Federal Register
on June 29, 2022 (87 FR 38704).
3 The December 20, 2022 renewal order was
published in the Federal Register on December 27,
2022 (87 FR
79725).
4 The June 15, 2023 renewal order was published
in the Federal Register on June 21, 2023 (88 FR
40202). The renewal order was subsequently
modified on June 27, 2023 and published in the
Federal Register on June 30, 2023 (88 FR 42290).
The June 27, 2023 modification made no changes
to the scope or length of prohibitions against
Nordwind.
5 At the time of the renewal, Section 766.24(d)
provided 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.
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17:39 Dec 13, 2023
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If BIS believes that renewal of a denial
order is necessary in the public interest
to prevent an imminent violation, it may
file a written request for renewal, with
any modifications if appropriate. 15
CFR 766.24(d)(1). The written request,
which must be filed no later than 20
days prior to the TDO’s expiration,
should set forth the basis for BIS’s belief
that renewal is necessary, including any
additional or changed circumstances. Id.
‘‘In cases demonstrating a pattern of
repeated, ongoing and/or continuous
apparent violations, BIS may request the
renewal of a temporary denial order for
an additional period not exceeding one
year.’’ 6 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 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).7 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).8 Accordingly, any U.S.-origin
aircraft or foreign aircraft that includes
more than 25% controlled U.S.-origin
6 88
FR 59791 (Aug. 30, 2023).
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).
8 87 FR 13048 (Mar. 8, 2022).
7 87
PO 00000
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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 for a period
of one year is based upon the facts
underlying the issuance of the initial
TDO, the renewal orders subsequently
issued in this matter, and evidence that
continues to develop during this
investigation. These facts and evidence
demonstrate that Nordwind has
continued, and continues, to act in
blatant disregard for U.S. export
controls and the terms of previously
issued TDOs. Specifically, the initial
TDO, issued on June 24, 2022, was
based on evidence that Nordwind
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, Yerevan, Armenia, Istanbul, Turkey,
and Sharm el-Sheikh, Egypt, without
the required BIS authorization.9 Further
evidence submitted by BIS indicated
that Nordwind also continued 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 prior renewal
orders, BIS presented evidence
indicating that, after the initial June 24,
2022, TDO issued, Nordwind 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.10 The December 20, 2022,
order detailed flights into and out of
Russia from/to Sharm el-Sheikh, Egypt
and Bokhtar, Tajikistan.11 The June 15,
2023 renewal order documented a
similar pattern of prohibited conduct
including a flight from Tehran, Iran to
Moscow, Russia.12
9 Publicly available flight tracking information
shows, for example, that on March 7, 2022, serial
number (‘‘SN’’)
40874 flew from Yerevan, Armenia to Kazan,
Russia; SN 40233 flew from Istanbul, Turkey to
Kazan, Russia; and SN 40236 flew from Sharm elSheikh, Egypt to Moscow, Russia.
10 Engaging in conduct prohibited by a denial
order violates the Regulations. 15 CFR 764.2(a) and
(k).
11 Publicly available flight tracking information
shows that on December 3, 2022, SN 42059 flew
from Sharm el-Sheikh, Egypt to Orenberg, Russia
and on December 2, 2022, SN 40874 flew from
Hurghada, Egypt to Moscow, Russia. In addition, on
November 29, 2022, SN 35700 flew from Bokhtar,
Tajikistan to Moscow, Russia.
12 Publicly available flight tracking information
shows that SN 35700 flew from Bokhtar, Tajikistan
to Orsk, Russia on June 2, 2023. Additionally, SN
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Federal Register / Vol. 88, No. 239 / Thursday, December 14, 2023 / Notices
Since that time, Nordwind continued
to engage in conduct prohibited by the
TDO and Regulations. In its November
21, 2023, request for renewal of the
TDO, BIS submitted evidence that
Nordwind continues to operate aircraft
subject to the EAR and classified under
Tail No.
RA–73313
RA–73313
RA–73313
RA–73313
RA–73313
RA–73317
RA–73317
RA–73317
RA–73317
RA–73317
RA–73314
RA–73314
RA–73314
RA–73314
RA–73314
Serial No.
..............
..............
..............
..............
..............
..............
..............
..............
..............
..............
..............
..............
..............
..............
..............
Aircraft type
35700
35700
35700
35700
35700
40874
40874
40874
40874
40874
40233
40233
40233
40233
40233
737–82R
737–82R
737–82R
737–82R
737–82R
737–82R
737–82R
737–82R
737–82R
737–82R
737–8KN
737–8KN
737–8KN
737–8KN
737–8KN
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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 demonstrates that
Nordwind 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. Moreover, I find
that renewal for an extended period is
appropriate because Nordwind has
engaged in a pattern of repeated,
ongoing and/or continuous apparent
violations of the EAR. Therefore,
renewal of the TDO for one year 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 Nordwind, 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, Nordwind Airlines,
Leningradskaya str., building 25, office
27. 28m, Moscow region, Khimki city,
141402, Russia, when acting for or on
their behalf, any successors or assigns,
agents, or employees may not, directly
or indirectly, participate in any way in
40874 flew from Tehran, Iran to Moscow, Russia on
VerDate Sep<11>2014
17:39 Dec 13, 2023
Jkt 262001
ECCN 9A991.b, both on flights into and
within Russia, in violation of the June
15, 2023 renewal order and/or the
Regulations. Specifically, BIS’s evidence
and related investigation demonstrates
that Nordwind continued to operate
aircraft subject to the EAR, including,
but not limited to, on flights into and
out of Russia from/to Bishkek,
Kyrgyzstan and Bokhtar, Tajikistan as
well as domestically within Russia.
Information about those flights includes,
but is not limited to, the following:
Departure/arrival cities
................
................
................
................
................
................
................
................
................
................
................
................
................
................
................
Dates
Khujand, TJ/Kazan, RU .....................
Kazan, RU/St. Petersburg, RU ..........
Osh, KG/Ufa, RU ...............................
Dushanbe, TJ/Orenburg, RU .............
Bishkek, KG/Kazan, RU .....................
Cheboksary, RU/Sochi, RU ...............
Khujand, TJ/Kazan RU ......................
Dushanbe, TJ/Kazan, RU ..................
Dushanbe, TJ/Samara, RU ................
Khujand, TJ/Kazan, RU .....................
Bokhtar, TJ/Orsk, RU .........................
Dushanbe, TJ/Moscow, RU ...............
Kazan, RU/Moscow, RU ....................
Osh, KG/Tyumen, RU ........................
Bokhtar, TJ/Moscow, RU ...................
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 (incountry) to or on behalf of Nordwind
any item subject to the EAR except
December 6, 2023.
December 2, 2023.
December 1, 2023.
November 8, 2023.
November 2, 2023.
December 5, 2023.
November 27, 2023.
November 26, 2023.
November 6, 2023.
October 6, 2023.
December 5, 2023.
December 5, 2023.
December 1, 2023.
November 4, 2023.
November 1, 2023.
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
Nordwind 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 Nordwind 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 Nordwind 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 Nordwind 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 Nordwind, or
service any item, of whatever origin,
that is owned, possessed or controlled
by Nordwind if such service involves
May 16, 2023 and SN 42233 flew from Osh,
Kyrgyzstan to Tyumen, Russia on June 10, 2023.
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Federal Register / Vol. 88, No. 239 / Thursday, December 14, 2023 / Notices
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 Nordwind 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,
Nordwind 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 Nordwind 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 Nordwind and shall be published in
the Federal Register.
This Order is effective immediately
and shall remain in effect for one year.
Matthew S. Axelrod,
Assistant Secretary of Commerce for Export
Enforcement.
[FR Doc. 2023–27475 Filed 12–13–23; 8:45 am]
BILLING CODE 3510–DT–P
DEPARTMENT OF COMMERCE
lotter on DSK11XQN23PROD with NOTICES1
Bureau of Industry and Security,
Washington, DC 20230
Siberian Airlines d/b/a S7 Airlines,
633104, Novosibirskaya obl., g. Ob.
prospekt Mozzherina, d. 10 ofis 201;
Order Renewing Temporary Denial of
Export Privileges
Pursuant to Section 766.24 of the
Export Administration Regulations, 15
CFR parts 730–774 (‘‘EAR’’ or ‘‘the
VerDate Sep<11>2014
17:39 Dec 13, 2023
Jkt 262001
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 June 15, 2023. I find
that renewal of this order is necessary
in the public interest to prevent an
imminent violation of the Regulations
and that renewal for an extended period
is appropriate because Siberian Airlines
d/b/a S7 Airlines (‘‘Siberian’’) has
engaged in a pattern of repeated,
ongoing and/or continuous apparent
violations of the EAR.
I. Procedural History
On June 24, 2022, I signed an order
denying Siberian’s 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 The
TDO was subsequently renewed on
December 20, 2022 3 and again on June
15, 2023,4 in accordance with Section
766.24(d) of the Regulations.5
On November 21, 2023, BIS, through
OEE, submitted a written request for a
third renewal of the TDO. The written
request was made more than 20 days
before the TDO’s scheduled expiration
and, given the temporary suspension of
international mail service to Russia,
OEE has attempted to serve a copy of
the renewal request on Siberian in
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 June 29, 2022 (87 FR 38709).
3 The December 20, 2022 renewal order was
published in the Federal Register on December 23,
2022 (87 FR 78921).
4 The June 15, 2023 renewal order was published
in the Federal Register on June 21, 2023 (88 FR
40205).
5 At the time of the renewal, Section 766.24(d)
provided 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.
PO 00000
Frm 00005
Fmt 4703
Sfmt 4703
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.
If BIS believes that renewal of a denial
order is necessary in the public interest
to prevent an imminent violation, it may
file a written request for renewal, with
any modifications if appropriate. 15
CFR 766.24(d)(1). The written request,
which must be filed no later than 20
days prior to the TDO’s expiration,
should set forth the basis for BIS’s belief
that renewal is necessary, including any
additional or changed circumstances. Id.
‘‘In cases demonstrating a pattern of
repeated, ongoing and/or continuous
apparent violations, BIS may request the
renewal of a temporary denial order for
an additional period not exceeding one
year.’’ 6 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,
6 88
E:\FR\FM\14DEN1.SGM
FR 59791 (Aug. 30, 2023).
14DEN1
]]>Agencies
[Federal Register Volume 88, Number 239 (Thursday, December 14, 2023)]
[Notices]
[Pages 86623-86626]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2023-27475]
-----------------------------------------------------------------------
DEPARTMENT OF COMMERCE
Bureau of Industry and Security
Nordwind Airlines, Leningradskaya str., Building 25, Office 27.
28, Moscow Region, Khimki City,141402, Russia; Order Renewing Temporary
Denial of Export Privileges
Pursuant to Section 766.24 of the Export Administration
Regulations, 15 CFR parts 730-774 (``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 June 15, 2023. I find that renewal of this order is necessary
in the public interest to prevent an imminent violation of the
Regulations and that renewal for an extended period is appropriate
because Nordwind Airlines (``Nordwind'') has engaged in a pattern of
repeated, ongoing and/or continuous apparent violations of the EAR.
---------------------------------------------------------------------------
\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 June 24, 2022, I signed an order denying Nordwind's 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
[[Page 86624]]
and was effective upon issuance.\2\ The TDO was subsequently renewed on
December 20, 2022 \3\ and again on June 15, 2023,\4\ in accordance with
Section 766.24(d) of the Regulations.\5\
---------------------------------------------------------------------------
\2\ The TDO was published in the Federal Register on June 29,
2022 (87 FR 38704).
\3\ The December 20, 2022 renewal order was published in the
Federal Register on December 27, 2022 (87 FR
79725).
\4\ The June 15, 2023 renewal order was published in the Federal
Register on June 21, 2023 (88 FR 40202). The renewal order was
subsequently modified on June 27, 2023 and published in the Federal
Register on June 30, 2023 (88 FR 42290). The June 27, 2023
modification made no changes to the scope or length of prohibitions
against Nordwind.
\5\ At the time of the renewal, Section 766.24(d) provided 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.
---------------------------------------------------------------------------
On November 21, 2023, BIS, through OEE, submitted a written request
for a third renewal of the TDO. The written request was made more than
20 days before the TDO's scheduled expiration and, given the temporary
suspension of international mail service to Russia, OEE has attempted
to serve a copy of the renewal request on Nordwind 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.
If BIS believes that renewal of a denial order is necessary in the
public interest to prevent an imminent violation, it may file a written
request for renewal, with any modifications if appropriate. 15 CFR
766.24(d)(1). The written request, which must be filed no later than 20
days prior to the TDO's expiration, should set forth the basis for
BIS's belief that renewal is necessary, including any additional or
changed circumstances. Id. ``In cases demonstrating a pattern of
repeated, ongoing and/or continuous apparent violations, BIS may
request the renewal of a temporary denial order for an additional
period not exceeding one year.'' \6\ Id.
---------------------------------------------------------------------------
\6\ 88 FR 59791 (Aug. 30, 2023).
---------------------------------------------------------------------------
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).\7\ 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).\8\ 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.
---------------------------------------------------------------------------
\7\ 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).
\8\ 87 FR 13048 (Mar. 8, 2022).
---------------------------------------------------------------------------
OEE's request for renewal for a period of one year is based upon
the facts underlying the issuance of the initial TDO, the renewal
orders subsequently issued in this matter, and evidence that continues
to develop during this investigation. These facts and evidence
demonstrate that Nordwind has continued, and continues, to act in
blatant disregard for U.S. export controls and the terms of previously
issued TDOs. Specifically, the initial TDO, issued on June 24, 2022,
was based on evidence that Nordwind 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, Yerevan,
Armenia, Istanbul, Turkey, and Sharm el-Sheikh, Egypt, without the
required BIS authorization.\9\ Further evidence submitted by BIS
indicated that Nordwind also continued to operate aircraft subject to
the EAR domestically on flights within Russia, potentially in violation
of Section 736.2(b)(10) of the Regulations.
---------------------------------------------------------------------------
\9\ Publicly available flight tracking information shows, for
example, that on March 7, 2022, serial number (``SN'')
40874 flew from Yerevan, Armenia to Kazan, Russia; SN 40233 flew
from Istanbul, Turkey to Kazan, Russia; and SN 40236 flew from Sharm
el-Sheikh, Egypt to Moscow, Russia.
---------------------------------------------------------------------------
As discussed in the prior renewal orders, BIS presented evidence
indicating that, after the initial June 24, 2022, TDO issued, Nordwind
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.\10\ The December 20, 2022, order
detailed flights into and out of Russia from/to Sharm el-Sheikh, Egypt
and Bokhtar, Tajikistan.\11\ The June 15, 2023 renewal order documented
a similar pattern of prohibited conduct including a flight from Tehran,
Iran to Moscow, Russia.\12\
---------------------------------------------------------------------------
\10\ Engaging in conduct prohibited by a denial order violates
the Regulations. 15 CFR 764.2(a) and (k).
\11\ Publicly available flight tracking information shows that
on December 3, 2022, SN 42059 flew from Sharm el-Sheikh, Egypt to
Orenberg, Russia and on December 2, 2022, SN 40874 flew from
Hurghada, Egypt to Moscow, Russia. In addition, on November 29,
2022, SN 35700 flew from Bokhtar, Tajikistan to Moscow, Russia.
\12\ Publicly available flight tracking information shows that
SN 35700 flew from Bokhtar, Tajikistan to Orsk, Russia on June 2,
2023. Additionally, SN 40874 flew from Tehran, Iran to Moscow,
Russia on May 16, 2023 and SN 42233 flew from Osh, Kyrgyzstan to
Tyumen, Russia on June 10, 2023.
---------------------------------------------------------------------------
[[Page 86625]]
Since that time, Nordwind continued to engage in conduct prohibited
by the TDO and Regulations. In its November 21, 2023, request for
renewal of the TDO, BIS submitted evidence that Nordwind continues to
operate aircraft subject to the EAR and classified under ECCN 9A991.b,
both on flights into and within Russia, in violation of the June 15,
2023 renewal order and/or the Regulations. Specifically, BIS's evidence
and related investigation demonstrates that Nordwind continued to
operate aircraft subject to the EAR, including, but not limited to, on
flights into and out of Russia from/to Bishkek, Kyrgyzstan and Bokhtar,
Tajikistan 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-73313.................. 35700 737-82R................... Khujand, TJ/ December 6, 2023.
Kazan, RU.
RA-73313.................. 35700 737-82R................... Kazan, RU/St. December 2, 2023.
Petersburg, RU.
RA-73313.................. 35700 737-82R................... Osh, KG/Ufa, RU.. December 1, 2023.
RA-73313.................. 35700 737-82R................... Dushanbe, TJ/ November 8, 2023.
Orenburg, RU.
RA-73313.................. 35700 737-82R................... Bishkek, KG/ November 2, 2023.
Kazan, RU.
RA-73317.................. 40874 737-82R................... Cheboksary, RU/ December 5, 2023.
Sochi, RU.
RA-73317.................. 40874 737-82R................... Khujand, TJ/Kazan November 27,
RU. 2023.
RA-73317.................. 40874 737-82R................... Dushanbe, TJ/ November 26,
Kazan, RU. 2023.
RA-73317.................. 40874 737-82R................... Dushanbe, TJ/ November 6, 2023.
Samara, RU.
RA-73317.................. 40874 737-82R................... Khujand, TJ/ October 6, 2023.
Kazan, RU.
RA-73314.................. 40233 737-8KN................... Bokhtar, TJ/Orsk, December 5, 2023.
RU.
RA-73314.................. 40233 737-8KN................... Dushanbe, TJ/ December 5, 2023.
Moscow, RU.
RA-73314.................. 40233 737-8KN................... Kazan, RU/Moscow, December 1, 2023.
RU.
RA-73314.................. 40233 737-8KN................... Osh, KG/Tyumen, November 4, 2023.
RU.
RA-73314.................. 40233 737-8KN................... Bokhtar, TJ/ November 1, 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 demonstrates that Nordwind 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. Moreover, I find that renewal for an
extended period is appropriate because Nordwind has engaged in a
pattern of repeated, ongoing and/or continuous apparent violations of
the EAR. Therefore, renewal of the TDO for one year 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 Nordwind, 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, Nordwind Airlines, Leningradskaya str., building 25, office
27. 28m, Moscow region, Khimki city, 141402, Russia, 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
Nordwind 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 Nordwind 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 Nordwind 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 Nordwind 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 Nordwind 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 Nordwind, or service any item, of
whatever origin, that is owned, possessed or controlled by Nordwind if
such service involves
[[Page 86626]]
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 Nordwind 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,
Nordwind 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 Nordwind 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 Nordwind and shall be
published in the Federal Register.
This Order is effective immediately and shall remain in effect for
one year.
Matthew S. Axelrod,
Assistant Secretary of Commerce for Export Enforcement.
[FR Doc. 2023-27475 Filed 12-13-23; 8:45 am]
BILLING CODE 3510-DT-P
