August 16, 2023

OFAC targets Russia-DPRK arms transactions

As part of the United States’ endeavor to disrupt the flow of munitions and military equipment to Russia to fuel the war against Ukraine, the Treasury Department’s Office of Foreign Assets Control (OFAC) has designated three entities owned or controlled by Ashot Mkrtychev.  Mkrtychev is a Slovakian national who was designated by OFAC in March 2023 for his efforts to facilitate arms deals between Russia and the Democratic People’s Republic of Korea.  The three entities are designated pursuant to Executive Order 13551 for being owned or controlled, or acting on behalf of Mkrtychev.  The entities, Limited Liability Company Verus Defense Engineering Limited Liability Partnership, and Versor S.R.O., are based in Kazakhstan, Russia, and Slovakia, respectively.

As a result of these designations, all property and interests in property of the designees within the United States or within the possession or control of a US person are blocked, and US persons are generally prohibited from engaging in transactions involving the designated persons.  In addition, entities owned 50 percent or more by one or more blocked persons are also blocked.

US Dept of the Treasury press release