U.S. sanctions on Russia tied to UK attack to take effect Monday

The Russian flag flies over the Embassy of Russia in Washington, U.S., August 6, 2018. REUTERS/Brian Snyder

By Lisa Lambert and Lesley Wroughton

WASHINGTON (Reuters) – U.S. sanctions against Russia tied to a nerve agent attack in Britain, which were announced earlier this month, will come into effect on Monday, the U.S. government said on Friday, adding to the array of economic penalties it has imposed on Moscow in recent years.

The new measures, detailed in a notice posted at the Federal Register, will terminate foreign assistance and some arms sales and financing to Russia, as well as deny the country credit and prohibit the export of security-sensitive goods and technology.

Russia’s Foreign Ministry said the sanctions will only create more tension between the two countries, the RIA news agency reported on Friday.

Although President Donald Trump has often said he would like better ties with his Russian counterpart, Vladimir Putin, Washington’s relations with Moscow are at a low – frayed by U.S. allegations Russia interfered in its 2016 presidential election, and by disagreements over Russia’s 2014 annexation of Crimea and its role in the Syrian civil war.

Plans to impose the latest sanctions were announced by the Trump administration on Aug. 8, a response to what the State Department said was Moscow’s use of a nerve agent against a former Russian agent and his daughter in Britain in March.

Sergei Skripal, a former colonel in Russia’s GRU military intelligence service, and his 33-year-old daughter, Yulia, were found unconscious on a bench in the southern English city of Salisbury after a liquid form of the Novichok type of nerve agent was applied to the front door of his home. Both survived the attack.

Moscow has denied involvement in the attack. It has also denied meddling in the 2016 U.S. elections.

‘CHANGE IN BEHAVIOR’

Trump’s national security adviser, John Bolton, said on Friday Moscow must change its ways before the United States will lift its already long list of sanctions.

“The sanctions remain in force and will remain in force until the required change in Russian behavior,” he told a news conference in the Ukrainian capital, Kiev.

The new measures will be published and come into effect on Aug. 27 and remain in place for at least one year, according to the notice in the Federal Register, a daily catalog of government agency actions. They are authorized by the 1991 Chemical and Biological Weapons and Warfare Elimination Act.

Spaceflight activities, government space cooperation, areas concerning commercial aviation safety and urgent humanitarian assistance will be exempt.

A second batch of penalties will be imposed after 90 days unless Russia gives “reliable assurance” that it would no longer use chemical weapons and allow on-site inspections by the United Nations or another international observer group.

Soon after the attack on the Skripals, Washington also showed solidarity with Britain and announced it would expel 60 Russian diplomats, joining governments across Europe in punishing the Kremlin.

(Reporting by Lisa Lambert and Lesley Wroughton in Washington; Additional reporting by Maxim Rodionov in Moscow and Pavel Polityuk in Kiev; Editing by Frances Kerry)

Russia postpones bill making U.S. sanctions compliance a crime

FILE PHOTO: A general view shows the State Duma, the lower house of parliament, in Moscow, Russia January 20, 2017. REUTERS/Maxim Shemetov/File Photo

By Polina Nikolskaya and Tom Balmforth

MOSCOW (Reuters) – Russian lawmakers on Thursday voted to postpone the second reading of a bill being discussed in the lower house of parliament that would make it a crime to comply with Western sanctions on Russia.

The lower house said it would hold talks next week with businesses before proceeding further with discussion of the draft law, a day after business lobby groups on Wednesday publicly voiced opposition to it.

“We support postponing (discussion) for further consultations because of numerous appeals and insufficient legal preparation,” said Nikolai Kolomeytsev, a lawmaker for the Communist party, which often backs the Kremlin on important issues.

Russian lawmakers in a first reading on Tuesday approved a bill making it a crime punishable by up to four years in jail to refuse to supply services or do business with a Russian citizen, citing U.S. or other sanctions.

The Russian Union of Industrialists and Entrepreneurs said in a statement on Wednesday that the bill creates risks of unreasonable criminal prosecution of Russian and foreign citizens, and could harm the investment climate.

Business representatives will be invited to discuss the bill with lawmakers next Wednesday.

“I think we can find a construction under which these fears can be removed. And then the law will pass without any fears and, generally speaking, we need it,” lawmaker Valery Gartung said on Thursday. He is a member of the Just Russia party which often allies itself with the Kremlin.

The bill is one of two items of legislation drawn up by lawmakers in response to the United States’ decision to impose sanctions on Russia last month.

Washington blacklisted some of Russia’s biggest companies and businessmen, striking at allies of President Vladimir Putin to punish Moscow for alleged meddling in the 2016 U.S. presidential election and other “malign activities”.

Later on Thursday, lawmakers in a second reading approved the second item of legislation. The bill would give the government authority to ban trade in certain items with countries deemed to be unfriendly to Moscow.

Under the bill, the Russian president would decide which products would be affected by the restrictions, and any decision would be subject to approval from parliament.

The legislation also bars affected countries and those countries’ citizens from taking part in the privatization of Russian property.

The legislation has been diluted since it was first put forward. Lawmakers originally proposed restricting imports of U.S.-made software and farm goods, U.S. medicines that can be sourced elsewhere, and tobacco and alcohol.

The legislation must pass a third reading, before being approved by the upper house of parliament and signed by President Vladimir Putin.

(Reporting by Polina Nikolskaya; Writing by Tom Balmforth; Editing by Christian Lowe)

Putin, Trump may meet next week at APEC summit

Russian President Vladimir Putin enters a hall to meet with members of the Presidential Council for Civil Society and Human Rights at the Kremlin in Moscow, Russia October 30, 2017

MOSCOW (Reuters) – Russian President Vladimir Putin and U.S. President Donald Trump may meet next week at an Asian economic summit amid strains over sanctions against Moscow, the Syria conflict and the investigation into alleged Russian meddling in the 2016 U.S. presidential campaign.

The Kremlin on Friday said talks were under way to set up an encounter at the Asia-Pacific Economic Cooperation (APEC) summit in Danang, Vietnam, from Nov. 8-10.

Trump told Fox News in an interview late on Thursday that it was possible he would meet with Putin during the trip.

“We may have a meeting with Putin,” he said. “And, again – Putin is very important because they can help us with North Korea. They can help us with Syria. We have to talk about Ukraine.”

Representatives for the White House did not immediately reply to a request for comment on Friday.

“It (the meeting) is indeed being discussed,” Kremlin spokesman Dmitry Peskov told reporters. “It’s hard to overestimate the importance and significance for all international matters of any contact between the presidents of Russia and the United States.”

Putin and Trump first met at a G20 summit in Hamburg in July when they discussed allegations of Russian meddling in the U.S. election last year but agreed to focus on better ties rather than litigating the past.

But relations between Moscow and Washington have soured further since then.

Trump in August grudgingly signed off on new sanctions against Russia, a move Moscow said ended hopes for better ties. Putin ordered Washington to cut its embassy and consular staff in Russia by more than half.

Tensions have also flared over the conflict in Syria.

If it the Trump-Putin meeting comes about, it would come as investigations in Washington over alleged Russian meddling in the presidential election and possible collusion by the Trump campaign yielded its first indictments.

U.S. special counsel Robert Mueller’s office this week unveiled charges against former Trump campaign manager Paul Manafort, Manafort associate Richard Gates and campaign foreign policy adviser George Papadopoulos. Manafort and Gates pleaded not guilty while Papadapoulos pleaded guilty.

The Wall Street Journal also has reported that U.S. authorities have enough evidence to charge six members of the Russian government in the hacking of Democratic National Committee computers during the 2016 campaign.

 

(Reporting by Polina Nikolskaya in Moscow and Susan Heavey in Washington; Writing by Andrew Osborn; Editing by Maria Kiselyova and Bill Trott)