The United States has included Czech Republic-based company Versvet in a new set of anti-Russian sanctions due to its involvement in helping a Russian firm evade trade restrictions, as announced by the US Treasury Department. The company is accused of assisting Russian firm Radioavtomatika in importing electronics despite being under sanctions since the beginning of Russia’s aggression against Ukraine.

Radioavtomatika specializes in procuring foreign equipment for Russia’s defense industry and has made repeated attempts to import such equipment through various intermediaries since being sanctioned last year. Versvet, owned and controlled by Russian citizen Svetlana Verkhovtseva, was one of the intermediaries identified by the US Treasury Department.

The US Treasury’s Office of Foreign Assets Control (OFAC) imposed sanctions on both Verkhovtseva and Versvet in response to their involvement. Versvet, located in the commercial and administrative center of Karlovy Vary on Bělehradská Street, is situated in one of the town’s most attractive areas.

The Czech Finance Ministry, in response to the US sanctions, stated that it can only enforce sanctions listed by the European Union, the United Nations, and the Czech Republic’s own national list. The ministry spokesperson, Michaela Lagronova, explained that the Financial Analytical Office (FAU), responsible for sanctions-related measures in the Czech Republic, has been monitoring all information regarding the US measures. However, current regulations limit their actions to individuals or entities on the EU or UN sanctions lists or the Czech list based on the Magnitsky Law.

The recent sanctions by the US Treasury’s OFAC also targeted 22 individuals and 104 entities associated with Radioavtomatika, located in more than 20 countries or jurisdictions. These sanctions involve the freezing of assets of the designated entities within the United States. Additionally, US citizens and individuals on US soil are prohibited from engaging in transactions with these entities unless authorized by OFAC.

The inclusion of Versvet in the US sanctions underscores the international efforts to enforce trade restrictions on entities involved in circumventing sanctions and aiding prohibited activities. Such measures aim to promote compliance with international norms and maintain stability in regions affected by geopolitical conflicts.

Article by Prague Forum