US Slaps New Sanctions on Russia Targeting Individuals, Entities, Sovereign Debt, Expels Diplomats

The Biden administration has announced new financial and banking sector sanctions against Russia, and simultaneously expelled 10 diplomats from Russia’s diplomatic mission in Washington.

The sanctions, based on a presidential executive order, target 32 entities and individuals, plus six Russian technology sector companies, over alleged Russian meddling in the 2020 elections and hacking attacks, including the SolarWinds incident. The 32 designated entities and individuals are targeted for their supposed involvement in “Russian government-directed attempts to influence the 2020 US presidential election, and other acts of disinformation and interference.”

Significantly, the Treasury restrictions target all Russian sovereign debt -both ruble and non-ruble denominated, issued after 14 June 2021 by the Central Bank of Russia, Russia’s National Wealth Fund and the Ministry of Finance. “This directive provides authority for the US government to expand sovereign debt sanctions on Russia as appropriate,” a release by the White House said.

In a related measure, the Treasury announced Thursday that it had sanctioned eight more individuals over Russia’s “occupation” of Crimea in coordination with the European Union, the UK, Australia and Canada.

The 10 expelled diplomats have been ordered to leave Washington on the pretext that they were working as intelligence officers under diplomatic cover.

NATO expressed support for the new sanctions Thursday, saying US allies “stand in solidarity with the United States over what it said were “actions to respond to Russia’s destabilizing activities. Allies are taking actions individually and collectively to enhance the Alliance’s collective security.”

“We call on Russia to cease immediately its destabilizing behaviour, and to uphold its international obligations, as Allies do theirs, including existing arms control, disarmament, and non-proliferation agreements and commitments. We also call on Russia to cease its provocations and to immediately descalate tension on Ukraine’s borders,” the alliance said.

In Thursday’s release, the White House threatened “further responses” to Russia’s alleged “malicious cyber activity” related to SolarWinds, and said it is “responding to” reports of alleged Russian payments to the Taliban to kill US troops in Afghanistan. Washington formally named Russia’s Foreign Intelligence Service (SVR) “as the perpetrator of teh broad-scope cyberespionage campaign that exploited the SolarWinds Orion platform and other information technology infrastructures,” and said that the US intelligence community has expressed “high confidence” about the SVR’s alleged involvement in the hacks.

State Department Hopes Cooperation With Russia Still Possible

Commenting on the new restrictions, Secretary of State Antony Blinken said the executive order would allow Washington to expand sovereign debt sanctions on Russia as appropriate, but added that America would continue to ‘seek opportunities for cooperation with Russia’ with the goal of building a ‘more stable, more predictable relationship.’