Sudan: UK sanctions businesses linked to SAF and RSF

Press release [here is a full copy]:

UK Sanctions Businesses Funding Sudan War

English

العربيَّة

New sanctions have been announced which will target the businesses associated with the Sudanese Armed Forces and the Rapid Support Forces.

From:

Foreign, Commonwealth & Development Office, The Rt Hon Andrew Mitchell MP, and The Rt Hon James Cleverly MP

Published

12 July 2023

• UK Government sanctions imposed on businesses associated with leaders of the Sudanese Armed Forces and the Rapid Support Forces, the military groups behind the ongoing conflict in Sudan.
• Strict measures will cut funding sources and pressure the warring parties to engage in the peace process, allow access for humanitarian aid and end atrocities against the Sudanese people.
• The sanctions are part of the UK’s response to ongoing hostilities since fighting broke out in April and a growing humanitarian crisis.

The UK has today (12 July) imposed new sanctions on businesses which are fueling the devastating conflict in Sudan by providing funding and arms to the warring militias. These sanctions will ensure that any assets held in the UK by these conglomerates and companies will be frozen.

These strict measures on companies controlled by the Sudanese Armed Forces (SAF) and the Rapid Support Forces (RSF) will limit their financial freedom by preventing UK citizens, companies and banks from dealing with them and put pressure on the parties to engage in the peace process.

Almost three months of violence in Sudan has resulted in 25 million people in need of humanitarian assistance, over 2.2 million internally displaced and 682,000 people estimated to have fled to neighbouring countries. In Darfur, there are also reports of increasing ethnic violence.

The war has been exacerbated and prolonged by the vast financial empires supporting the SAF and RSF. The multi-billion-dollar conglomerates and companies associated with both parties have provided them with a steady source of funds and weapons, enabling the continuation of fighting which has seen atrocities committed against civilians.

The UK has designated six commercial entities in total, with each of the two warring parties having three associated businesses targeted. These sanctions will send a strong message to those providing funding and supplies to the SAF and RSF that the ongoing conflict is unacceptable and the violence must stop.

Foreign Secretary James Cleverly says:

These sanctions are directly targeting those whose actions have destroyed the lives of millions. Both sides have committed multiple ceasefire violations in a war, which is completely unjustified.

Innocent civilians continue to face the devastating effects of the hostilities, and we simply cannot afford to sit-by and watch as money from these companies, all funding the RSF or SAF, is spent on a senseless conflict. Working with international partners, we will continue to do all we can to support a meaningful peace process, stop the violence and secure free humanitarian access.

These new measures are aimed at pressing the parties driving the conflict to engage in a sustained and meaningful peace process, stop blocking life-saving humanitarian aid into Sudan, and end the violence and atrocities.

Minister for Development and Africa Andrew Mitchell said:

The SAF and RSF have dragged Sudan into a wholly unjustified war, with utter disregard for the Sudanese people, and must be held accountable. These sanctions are designed to pressure the parties to engage in a meaningful and lasting peace process.

These sanctions will not impact vital aid to the region and include a humanitarian exemption, ensuring that aid can continue to be delivered by the UN and other eligible organisations.

The UK continues to pursue all diplomatic avenues to end the violence, de-escalate tensions and secure safe humanitarian access, including engaging with the UN Security Council, African Union and other partners to achieve this.

The businesses sanctions announced today are:

Companies associated with the RSF:

• Al-Junaid, a large Rapid Support Forces owned conglomerate set up by Rapid Support Forces leader Mohamed Hamdan Dagalo “Hemedti”. This company has provided at least tens of millions in financial backing for the militia, enabling it to continue the conflict.
• GSK Advance Company Ltd, a key front company owned by the Rapid Support Forces, providing some funding to the militia to support the purchase of materiel.
• Tradive General Trading co, a company associated with the Rapid Support Forces, supplying it with funds and materiel such as vehicles retrofitted with machine guns for the RSF to patrol the streets.

Companies associated with the SAF:

• Defense Industries Systems (DIS), a large Sudan Armed Forces-owned conglomerate, which provides some of the finances for General Abdel Fattah al Burhan to continue fighting, Defensive Industries System has over 200 companies and makes a profit of $2bn per annum.
• Sudan Master Technology, a Sudanese company involved in the sale of arms with close commercial ties to Defense Industries System, the economic and manufacturing arm of the Sudan Armed Forces which supplies it with funds and equipment.
• Zadna International Company for Investment Limited, a subsidiary of DIS, owned by the Sudan Armed Forces, and reported to be one of its top three ‘major earners’.

Media enquiries

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Telephone 020 7008 3100

Contact the FCDO Communication Team via email (monitored 24 hours a day) in the first instance, and we will respond as soon as possible.

Published 12 July 2023

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Published 12 July 2023

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View original: https://www.gov.uk/government/news/uk-sanctions-businesses-funding-sudan-war

[Ends]

US says Wagner provides missiles to RSF's terrorists

Report at Time Turk online

Dated Friday 26 May 2023; 12:37 - excerpt:

US accuses Russia’s Wagner of providing missiles to Sudan's paramilitary forces

Russia's Wagner Group ‘supplying Sudan’s Rapid Support Forces with surface-to-air missiles to fight against Sudan’s army,' says US Treasury Department

ISTANBUL - US Treasury Department accused Russia's private military company Wagner Group of providing missiles to Sudan's paramilitary Rapid Support Forces (RSF) and “contributing to a prolonged armed conflict.”

This came on Thursday when the Treasury Department imposed sanctions on Wagner's head in Mali, Ivan Aleksandrovich Maslov, blaming him for attempting to acquire weapons for Russia's war in Ukraine.

“Most recently in Sudan, the Wagner Group has been supplying Sudan's Rapid Support Forces with surface-to-air missiles to fight against Sudan's army, contributing to a prolonged armed conflict that only results in further chaos in the region,” a Treasury statement said.

Last month, Russian Foreign Minister Sergey Lavrov said that Sudan's legitimate authorities have the right to use the services of the Wagner group.

Earlier, US Secretary of State Antony Blinken voiced "deep concern" over the military company's activities in the war-torn country.

"It's in so many different countries, and in Africa, an element that, when it's engaged, simply brings more death and destruction with it," Blinken said during a joint press conference with his Kenyan counterpart Alfred Mutua.

View original: https://www.timeturk.com/en/us-accuses-russia-s-wagner-of-providing-missiles-to-sudan-s-paramilitary-forces/news-76159

[Ends]

From Russia with gold: UAE cashes in as sanctions bite

Report at Reuters.com

By Peter Hobson

Dated Thursday 25 May 2023; 12:05 PM GMT+1- full copy:

Exclusive: From Russia with gold: UAE cashes in as sanctions bite

Employees cast ingots of 99.99 percent pure gold during production at Krastsvetmet precious metals plant in the Siberian city of Krasnoyarsk, Russia, January 31, 2023. REUTERS/Alexander Manzyuk/File Photo

LONDON, May 25 (Reuters) - The United Arab Emirates has become a key trade hub for Russian gold since Western sanctions over Ukraine cut Russia's more traditional export routes, Russian customs records show.

The records, which contain details of nearly a thousand gold shipments in the year since the Ukraine war started, show the Gulf state imported 75.7 tonnes of Russian gold worth $4.3 billion - up from just 1.3 tonnes during 2021.

China and Turkey were the next biggest destinations, importing about 20 tonnes each between Feb. 24, 2022 and March 3, 2023. With the UAE, the three countries accounted for 99.8% of the Russian gold exports in the customs data for this period.

In the days after the Ukraine conflict started, many multinational banks, logistics providers and precious metal refiners stopped handling Russian gold, which had typically been shipped to London, a gold trading and storage hub.

The London Bullion Market Association banned Russian bars made from March 7, 2022, and by the end of August, Britain, the European Union, Switzerland, the United States, Canada and Japan had all banned imports of Russian bullion.

The export records show, however, that Russian gold producers quickly found new markets in countries that had not imposed sanctions on Moscow, such as the UAE, Turkey and China.

Louis Marechal, a gold sourcing expert at the Organisation for Economic Co-operation and Development said there was a risk Russian gold could be melted down and recast and then find its way back into U.S. and European markets with its origin masked.

"If the Russian gold comes in, is recast by a local refiner, sourced by a local bank or trader and then sold on into the market, there you have a risk," he said. "This is why carrying out due diligence is instrumental to end buyers wishing to ensure they respect sanctions regimes."

The UAE government's Gold Bullion Committee said the state operated with clear and robust processes against illicit goods, money laundering and sanctioned entities.

"The UAE will continue to trade openly and honestly, with its international partners, in compliance with all current international norms as set down by the United Nations," it said.

THRIVING GOLD HUB

In a bid to further isolate Russia, Washington has warned countries, including the UAE and Turkey, they could lose access to G7 markets if they do business with entities subject to U.S. sanctions.

The data reviewed by Reuters does not suggest there has been any violation of U.S. sanctions by those countries.

The U.S. Treasury, whose Office of Foreign Assets Control enforces sanctions, did not respond to requests for comment.

The shipments in the customs data, supplied to Reuters by a commercial provider, show exports of 116.3 tonnes between Feb. 24, 2022 and March 3 this year, although consultant Metals Focus estimates Russia produced 325 tonnes of gold in 2022.

The rest of the gold dug in Russia likely either stayed in the country or was exported in transactions not included in the records. Reuters was unable to determine what proportion of Russia's total gold exports were covered by the data.

Most of the Russian gold shipments to China went to Hong Kong. China's Ministry of Foreign Affairs said the country's cooperation with Russia "shall be free from disruption or coercion from any third party".

Turkey's finance ministry did not respond to requests for comment. The Russian government, customs authority and central bank did not respond to requests for comment about gold exports.

The shift in Russian exports away from London is not seen as a major blow as the hub is not reliant on Russia. In 2021, for example, gold from Russia accounted for 29% of London's imports but in 2018 it made up just 2%, British trade data shows.

The UAE, meanwhile, has long had a thriving gold industry. Trade data show it imported about 750 tonnes of pure gold a year on average between 2016 and 2021 - meaning the shipments in the Russian records would only account for about 10% of its imports.

The UAE is a major exporter of bullion and jewellery.

DISCOUNT PRICES

The manager of one company that shipped large amounts of Russian gold to the UAE told Reuters that Russian firms had been selling bullion there at a discount of about 1% to global benchmark prices, offering an incentive to trade.

The manager, who spoke on condition of anonymity, said most of the gold his firm shipped to the UAE was destined for refineries, where it would be melted down and recast.

Reuters asked four of Russia's largest gold miners for comment. Nordgold and Norilsk Nickel (GMKN.MM) declined to comment. Polyus (PLZL.MM) and Polymetal did not respond.

For a FACTBOX with details about some of the main companies involved in Russian gold shipments since the Ukraine war started, click here.

In many cases, the customs records show only shippers or traders involved in the transactions, not the end buyer, which could be a refiner, jeweller or investor.

The records show the biggest handler of Russian gold exported to the UAE was Temis Luxury Middle East, a Dubai subsidiary of French logistics firm Temis Luxury involved in the shipment of 15.6 tonnes valued at $863 million from April 2022 to March 3.

Broca Houy, head of compliance at Temis Luxury Group, said the company "fully complies with the laws and regulations of the United Arab Emirates for freight forwarder business".

He said Temis did not buy Russian gold and only accepted transport orders from operators not subject to U.S. sanctions.

Asked about the shipments, France's finance ministry said it would not comment on individual cases but it was very committed to the application of sanctions.

European sanctions do not typically apply to overseas subsidiaries, so European firms whose subsidiaries were involved in shipments of Russian gold to the UAE, Turkey or Hong Kong would not have necessarily broken any laws, said Tan Albayrak, a sanctions lawyer at Reed Smith in London.

The second-largest handler of Russian bullion in the UAE, with involvement in shipments of 14.6 tonnes worth $820 million, was logistics firm Transguard, part of the Emirates Group, the airline-to-hotels company owned by the Gulf state's wealth fund.

Emirates said it had not bought any Russian gold, operated in full compliance with applicable laws and had now stopped transporting it.

"Due to recent regulatory developments, Transguard is no longer providing logistics services pertaining to shipments of gold to or from Russia," it said.

In Hong Kong, most Russian gold shipments were handled by Vpower Finance Security Hong Kong Ltd, a Chinese logistics company. It was involved in the import of 20.5 tonnes of gold worth $1.2 billion between May 2022 and March 3, the records show.

Vpower Finance Security did not respond to requests for comment.

Reporting by Peter Hobson; Additional reporting by Layli Foroudi in Paris and Beijing Newsroom; Editing by David Clarke

View original: https://www.reuters.com/markets/russia-with-gold-uae-cashes-sanctions-bite-2023-05-25/

[Ends] 

Statement: President Biden on the Conflict in Sudan. Orders sanctions against people destabilising Sudan

NOTE from Sudan Watch Editor: The news here below is good. Hemeti can't read it. He's a 3rd grade school drop-out and semi-illiterate. His bifocals are probably part of his million dollar make-over to help him appear intelligent and statesmanlike and fit in with the elite in Khartoum who see him as a "country bumpkin". The pen is mightier than the sword. God bless America!

_______________________________________________________________________________

Report from The Washington Times

By Jeff Mordock 

Thursday 04 May 2023 - full copy:

Biden authorizes sanctions against people destabilizing Sudan

President Biden on Thursday ordered new sanctions on those responsible for the violence and chaos that has gripped Sudan.

The directive doesn’t specifically identify whom the administration will sanction but likely targets members of the Sudanese armed forces and their rival rapid support forces. Both sides have sunk the country into chaos as they vie for control.

In a statement, Mr. Biden said the order will “hold individuals responsible for threatening the peace, security and stability of Sudan, undermining Sudan‘s democratic transition, using violence against civilians or committing human rights abuses.”

“The Sudanese people suffered 30 years under an authoritarian regime — but they never gave up on their commitment to democracy or their hope for a better future,” Mr. Biden said.

The conflict began on April 15 after months of escalating tensions between the two factions. It has turned parts of the nation into war zones, and foreign governments have scrambled to evacuate their officials from Sudan.

Several nations, including the U.S., Saudi Arabia and some in East Africa, have floated a truce, but both sides seem disinterested in ending the battles.

International rights organizations have criticized the U.S. and other Western countries for not sooner implementing sanctions against the military leaders in Sudan.

Jeff Mordock can be reached at jmordock@washingtontimes.com.

View original: 

https://www.washingtontimes.com/news/2023/may/4/biden-authorizes-sanctions-against-people-destabil/

_______________________________________________________________________________

Report from CNN

By Sam Fossum, CNN

Thursday 04 May 2023 3:19 PM EDT - excerpt:

Biden authorizes future sanctions tied to conflict in Sudan

President Joe Biden laid the groundwork for future sanctions targeted toward the current violence in Sudan that has left hundreds dead and sparked a humanitarian crisis that poses “an unusual and extraordinary threat to the national security and foreign policy of the United States,” according to the administration. 

The executive order signed by Biden on Thursday authorizes future sanctions against individuals determined to be destabilizing the country and “undermining Sudan’s democratic transition,” as well as committing violence against civilians or perpetuating other human rights abuses. [...]

The administration has not yet imposed sanctions using the new executive order, US officials said.

View original: 

https://edition.cnn.com/2023/05/04/politics/biden-sudan-conflict-future-sanctions/index.html

_______________________________________________________________________________

Report from The Hill

BY BRAD DRESS - 05/04/23 6:28 PM ET - excerpt:

Biden sets stage for sanctions in embattled Sudan

US could soon sanction Sudanese individuals

The executive order signed by President Biden does not sanction any Sudanese individuals but does clear the way for future action, said White House national security spokesperson John Kirby.

 

“I wouldn’t read it as a warning,” Kirby said. “It’s the president setting up the proper authorities in case we want to use those kinds of tools.”

View original: 

https://thehill.com/newsletters/defense-national-security/3989190-biden-sets-stage-for-sanctions-in-embattled-sudan/

_______________________________________________________________________________

Related reports

From The White House

Thursday 04 May 2023 - full copy:

Statement from President Joe Biden on the Conflict in Sudan

The violence taking place in Sudan is a tragedy—and it is a betrayal of the Sudanese people’s clear demand for civilian government and a transition to democracy.  I join the peace-loving people of Sudan and leaders around the world in calling for a durable ceasefire between the belligerent parties.  This violence, which has already stolen the lives of hundreds of civilians and began during the holy month of Ramadan, is unconscionable.  It must end.

Since the earliest moments of this conflict, the United States has facilitated the safe departure of thousands of people – Americans and others – by land, sea, and air and conducted intensive negotiations to de-escalate violence. Our diplomatic efforts to urge all parties to end the military conflict and allow unhindered humanitarian access continue, as do our efforts to assist those remaining Americans, including by providing them information on exit options. The United States is already responding to this unfolding humanitarian crisis and stands ready to support enhanced humanitarian assistance when conditions allow.

The United States stands with the people of Sudan—and we are acting to support their commitment to a future of peace and opportunity.  Today, I issued a new Executive Order that expands U.S. authorities to respond to the violence that began on April 15 with sanctions that hold individuals responsible for threatening the peace, security, and stability of Sudan; undermining Sudan’s democratic transition; using violence against civilians; or committing serious human rights abuses. 

The Sudanese people suffered thirty years under an authoritarian regime—but they never gave up on their commitment to democracy or their hope for a better future.  Their dedication brought down a dictator, only to endure a military takeover in October 2021, and now more violence among factions fighting for control.  

View original: 

https://www.whitehouse.gov/briefing-room/statements-releases/2023/05/04/statement-from-president-joe-biden-on-the-conflict-in-sudan/

_______________________________________________________________________________

From The White House

04 May 2023

Executive Order on Imposing Sanctions on Certain Persons Destabilizing Sudan and Undermining the Goal of a Democratic Transition

View original:

https://www.whitehouse.gov/briefing-room/presidential-actions/2023/05/04/executive-order-on-imposing-sanctions-on-certain-persons-destabilizing-sudan-and-undermining-the-goal-of-a-democratic-transition/

_______________________________________________________________________________

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