Sanctions against Russia have been imposed as reported by Baltic Exchange.
Guidance from the UK
Following discussions with a Baltic Member who received oral guidance from the UK Government, the Baltic Exchange believes that UK persons are prohibited from broking, chartering, or selling vessels to persons linked to Russia and that doing so would violate UK sanctions, including Part 5 Chapter 2 Clause 29 (1) of Russia (Sanctions) (EU Exit) Regulations 2019.
Definition of “Persons connected with Russia”
For the purposes of these sanctions, regulation 57I (5) provides that a person is ‘connected with Russia’ if they are:
- An individual who is, or an association or combination of individuals who are, ordinarily resident in Russia
- An individual who is, or an association or combination of individuals who are, located in Russia
- A person, other than an individual, which is incorporated or constituted under the law of Russia, or
- A person, other than an individual, which is domiciled in Russia.
Definition of “UK Persons” set out in UK gov Russia sanctions: guidance updated 31 March 2022
UK persons include:
- British nationals as well as
- All bodies incorporated or constituted under the law of any part of the UK
- All companies established in any part of the UK
- Branches of UK companies operating overseas.
The Baltic Exchange recommends that UK Members urgently take their own independent legal advice on this issue and take extra care in performing background checks on companies and potential clients.
The Baltic is now seeking more legal guidance for the United Kingdom and other jurisdictions, which will be provided to members as soon as possible.
Did you subscribe to our newsletter?
It’s free! Click here to subscribe!
Source: Baltic Exchange
