On 13 May 2025, the European Union adopted new amendments to its regulatory framework concerning sanctions against Russia, formalised by means of the
Both provisions introduce changes to Decision 2014/145/CFSP and Regulation (EU) No 269/2014, respectively, in the context of restrictive measures directed against actions that jeopardise or threaten the territorial integrity, sovereignty and independence of Ukraine.
These amendments are intended to strengthen the existing sanctioning regime, with a significant impact on natural and legal persons and entities included in the EU restrictive measures list, as detailed below.
1. Concerning the new listing criteria
A new criterion for inclusion in the lists of sanctioned persons is established for natural or legal persons, entities or bodies that have participated in or allowed transfers of ownership, control or economic benefits of the business interests of the listed entrepreneurs subject to restrictive measures.
Thus, to Decision 2014/145/CFSP, point (j) is added in Article 1(1) as regards the obligation of Member States to take measures to prevent entry into and transit through their territory, and point (m) in Article 2(1) as regards the freezing of funds and economic resources; as well as point (m) in Article 3(1) of Regulation (EU) No 269/2014, which are worded as follows:
“Natural or legal persons, entities or bodies that have participated in or enabled transfers of ownership, control or economic benefit of the business interests of leading businesspersons who are subject to Union restrictive measures pursuant to the criterion set out in point (g) of this paragraph and listed in Annex I to this Regulation, thereby significantly frustrating those measures, with the exception of transfers expressly permitted pursuant to derogations and exemptions laid down in this Regulation or Regulation (EU) No 833/2014, or the natural or legal persons, entities or bodies that have permitted such transfers”.
According to the Council of the European Union, this new wording aims to prevent restrictive measures from being circumvented through corporate restructuring or concealment of assets, as it considers that prominent entrepreneurs operating in the Russian Federation continue to benefit from the Russian government through an interdependent relationship, despite the imposition of sanctions in 2022. In this regard, the Council aims to strengthen the mechanism for monitoring ownership and control situations.
2. Regarding the burden of proof required
On the other hand, some clarity is provided on the burden of proof required for the Council to maintain the relevant businessmen on the sanctioned list. With the new inclusion, if it is not demonstrated that such relevant entrepreneurs have ceased to benefit from the Russian regime,
it is presumed that they should continue to be considered subject to the sanctions, unless sufficient evidence is presented that they no longer meet the established criteria
Therefore, Article 2 ter shall be added to Decision 2014/145/CFSP and paragraph 1 ter to Article 3 of Regulation (EU) No 269/2014, with the following wording:
“Leading businesspersons operating in Russia listed in the Annex pursuant to Article 1(1), point (e), and Article 2(1), point (g), who claim to have transferred ownership, control or economic benefit of their business interests on or after 24 February 2022 shall continue to be considered as leading businesspersons and maintained in the list set out in the Annex, unless sufficient, recent and reliable information demonstrates that they no longer meet the criteria set out in Article 1(1), point (e), and Article 2(1), point (g) “.
With regard to what would be considered sufficient, recent and reliable information, the Council refers in its recitals to the fact that the persons concerned would be deemed to have changed their status – and should therefore be removed from the sanctions list – if they have ceased to be important and influential as a result of ‘their professional status, the scale of their economic activities, the size of their capital holdings or their functions within one or more undertakings or one or more business associations in which they engage in such activities’. It also mentions that the Council should take into account, as appropriate, whether the person concerned has unequivocally condemned, in the words of the text: “Russia’s war of aggression against Ukraine – which constitutes a manifest violation of the Charter of the United Nations – and actions and policies which undermine or threaten the territorial integrity, sovereignty and independence of Ukraine”.
Consequently, and in line with the arguments put forward by the European Union, the aim of both Decision (CFSP) 2025/904 and Regulation (EU) 2025/903 is to make it more difficult for the persons and entities concerned to circumvent the restrictions imposed, this time by regulating possible changes in the structure of their property or business activities, and thus to intensify pressure on the Russian government.
Both acts entered into force on the day following their publication, i.e. 14 May 2025, in the Official Journal of the European Union, ensuring their uniform application in all EU Member States.
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