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Executive Order on special procedure for execution of certain kinds of transactions between certain individuals

September 8, 2022

The President signed the Executive Order On a Special Procedure for the Execution (Implementation) of Specific Kinds of Transactions between Certain Individuals.

The Executive Order complements measures specified by executive orders of the President of the Russian Federation No. 81 On Additional Temporary Economic Measures to Ensure the Financial Stability of the Russian Federation of March 1, 2022, and No. 95 On the Temporary Procedure for Fulfilling Obligations to Certain Foreign Creditors of March 5, 2022.

The Executive Order prescribes a special procedure for transactions between citizens and foreign individuals, who are related to foreign countries that are engaged in unfriendly actions against the Russian Federation, Russian legal entities or physical persons, whereby the transactions entail direct or indirect establishment, change or termination of the rights of ownership, use or disposal of interest in the equity capital of limited liability companies (with the exception of the equity capital of lending organisations and non-lending financial organisations) or other rights, which allow for determining conditions for managing such limited liability companies or conditions for their business activities. The Executive Order lists categories of the above foreign citizens who fall within its scope.

Under the Executive Order, the specified transactions can be implemented given permission of the Government Commission on Monitoring Foreign Investment that, if necessary, would contain conditions for executing such transactions.

The Government of the Russian Federation was instructed to approve within 10 days a procedure for granting such permission by the Commission on Monitoring Foreign Investment.

The Ministry of Finance of the Russian Federation shall be authorised to provide official explications regarding the application of this Executive Order.

September 8, 2022