Feds Charge 11 in Illegal Export Scheme; Add 165 Names to BIS Entity List

In the wake of recent federal charges involving the illegal sale of microelectronics to Russian military and intelligence agencies, the Department of Commerce’s Bureau of Industry and Security (BIS) has added 165 new names to its “BIS Entity List” identifying foreign individuals and entities subject to strict export licensing requirements. 

What does this mean for the high tech industry? There’s a whole new crop of people with whom you might want to avoid doing business (at least in the immediate term). From law firm Venable:

“For each new listing, a BIS license is now required to export, reexport, or transfer (in-country) all items ‘subject to the [Export Administration Regulations]… And, no license exceptions may be applied…

Comprehensive company-wide customer screening and due diligence practices for all potential export transactions are the best mechanism for protecting your company from engaging in unlawful conduct. The newly listed entities and persons involved here range from the actual foreign end-user to those involving the receiving, transshipping, and facilitating of the illegally exported controlled commodities. Thus, the new listings include end users as well as other logistics providers and supply chain members.”

Read the update, Time to Check the Entity List: Eleven U.S. and Russian Companies and Individuals Charged in Illegal Export Scheme and 165 Added to BIS’ Entity List - Venable LLP»