The United States on December 5 imposed fresh sanctions targeting a defense procurement network that the U.S. Treasury Department said is led by a Belgium-based businessman and involves numerous Cyprus-based companies as well as businesses in Sweden, Hong Kong, and the Netherlands.
The Treasury Department's Office of Foreign Assets Control (OFAC) said the businessman, Hans De Geetere, leads the network, which it said is involved in procuring electronics with military applications for Russian end-users.
"Today's coordinated action reflects our collective commitment to enforcing our sanctions and export controls, including holding accountable those who seek to evade these measures," said Undersecretary of the Treasury for Terrorism and Financial Intelligence Brian E. Nelson.
Nelson added that United States and its allies "remain focused on disrupting any attempts by Russia or its trusted agents to gain access to the critical inputs and technologies necessary to support Moscow's defense industry and facilitate its brutal war in Ukraine."
The network is involved in procuring electronics with military applications for Russian end-users and consists of nine entities and five people based in Russia, Belgium, Cyprus, Sweden, Hong Kong, and the Netherlands, the Treasury Department said.
De Geetere operates Belgium-based Knokke Heist Support Corporation Management, Cyprus-based Eriner, Cyprus-based The Mother Ark, and Netherlands-based European Trading Technology, all of which were designated for sanctions by the Treasury Department on December 5.
The treasury also designated companies it said are linked to Eriner and The Mother Ark, including M and S Trading based in Hong Kong and other companies in Cyprus and the Netherlands that it said De Geetere has a hand in running.
In addition to those companies, De Geetere's network includes the Belgium-based company European Technical Trading (ETT), founded and led by his brother, Tom De Geetere.
De Geetere has leveraged the ETT brand in attempted purchases from U.S. and European companies, the Treasury Department said. In addition to his role as the founder and director of ETT, Tom De Geetere has coordinated with his brother to procure engines for drones.
Also designated is Russian national Vladimir Kulemekov, who is linked to De Geetere through multiple business dealings, including coordinating electronics orders for Russian entities. Kulemekov was previously employed by De Geetere and has been identified as a member of Russia's military intelligence agency.
Kulemekov associate Sergey Skvortsov, who has served as the director of a Kulemekov-owned electronics company founded to facilitate Sweden-based contracts between China and Russia, was also designated. Treasury said Skvortsov simultaneously led a separate import-export company that tested electronic components in production.
The sanctions freeze any assets held by the individuals and entities held in U.S. jurisdiction and generally bar Americans from dealing with them.
Separately, the U.S. Department of Justice also unsealed two separate indictments against De Geetere related to the network, while the Department of Commerce added De Geetere and five entities to its entity list.