On October 18, 2023, the U.S. Department of the Treasury, Office of Foreign Assets Control (“OFAC”) issued a number of general licenses easing sanctions targeting Venezuela. The general licenses authorize: (i) U.S. persons to purchase bonds issued by certain Venezuelan government entities prior to August 25, 2017 on the secondary market, (ii) transactions related to oil and gas sector operations in Venezuela for a six-month period, and (iii) transactions with the Venezuelan state-owned gold mining company. OFAC also issued additional guidance, including Frequently Asked Questions (“FAQs”) relating to these general licenses. Continue Reading OFAC Eases Venezuela Sanctions; Lifts Secondary Market Trading Ban on U.S. Persons
On July 26, 2023, the U.S. Department of Justice’s National Security Division, the U.S. Department of Commerce’s Bureau of Industry and Security, and the U.S. Department of the Treasury’s Office of Foreign Assets Control jointly issued a compliance note summarizing voluntary self-disclosure policies applicable to U.S. sanctions, export controls, and other national security laws.
U.S. Secretary of Commerce Gina Raimondo recently expressed support for a screening regime to review outbound investments. This, as well as similar statements from the White House and the passage of legislation calling for such a process earlier this year, signals that certain outbound investments could be subject to U.S. regulatory review and approval in the near future.
Continue Reading Support for “Reverse CFIUS” Outbound Investment Screening Regime Grows
Earlier this week, the U.S. Department of Commerce, Bureau of Industry and Security (“BIS”) published a final rule (the “Final Rule”) imposing export controls on additional emerging technologies pursuant to the Export Control Reform Act of 2018 (“ECRA”). We previously wrote about the process to identify and impose export controls on emerging and foundational technologies under the ECRA, as well as the steps taken in furtherance of that process, here and here.
Continue Reading New Biotech Export Controls Expand CFIUS Mandatory Notification Requirements
The Committee on Foreign Investment in the United States (CFIUS) recently released its 2020 annual report, which provides information and statistics regarding transactions reviewed by CFIUS in 2020. For the first time, the 2020 annual report also includes information regarding so-called non-notified transactions identified and reviewed by CFIUS.
Continue Reading CFIUS Releases 2020 Annual Report
President Biden recently issued a highly anticipated executive order that effectively replaces an existing ban on U.S. persons trading in securities of companies determined to be linked to the Chinese military. Effective August 2, 2021, U.S. persons are prohibited from purchasing (and, as of June 3, 2022, selling) certain publicly traded securities of companies listed…
As part of the National Defense Authorization Act for 2021 (the “NDAA”), Congress has passed the most significant U.S. anti-money laundering (“AML”) legislation since the USA PATRIOT Act of 2001, the “Anti-Money Laundering Act of 2020” (“AMLA 2020”).
Although President Trump has threatened to veto the NDAA, the majorities supporting the legislation would be sufficient…
Yesterday, the U.S. Department of Commerce, Bureau of Industry and Security (BIS) published a final rule (the Final Rule) imposing export controls on additional emerging technologies pursuant to the Export Control Reform Act of 2018 (ECRA). We previously wrote about the process to identify and impose export controls on emerging and foundational technologies under the ECRA, as well as the steps taken in furtherance of that process to date, here.
Continue Reading BIS Imposes Export Controls on Additional Emerging Technologies; Further Defines Scope of CFIUS Mandatory Notification Requirement
On August 27, 2020, the U.S. Department of Commerce, Bureau of Industry and Security (BIS) issued an advance notice of proposed rulemaking (the ANPRM) requesting public comment on the definition of, and criteria for identifying, “foundational” technologies that are essential to U.S. national security and should be subject to more stringent export controls. The ANPRM marks another step toward implementing the long-delayed “emerging and foundational technology” provisions of the Export Control Reform Act of 2018 (ECRA). Like the earlier ANPRM regarding emerging technologies, the rulemaking is still at a conceptual stage.
Continue Reading BIS Issues Long-Awaited Request for Public Comment on Foundational Technologies
The Committee on Foreign Investment in the United States (CFIUS) recently released its 2019 annual report, which provides information and statistics regarding transactions reviewed by CFIUS during 2019. CFIUS released its 2018 annual report (as well as summary data for transactions reviewed in 2019) last month, which we wrote about here. The 2019 annual report confirms and expands on the more limited 2019 data released last month.
Key takeaways include: (i) the number of CFIUS notices has remained relatively consistent over the past three years; (ii) the percentage of notices that proceeded to a second-stage investigation decreased significantly from 69% in 2018 to 48.9% in 2019; (iii) the percentage of notices withdrawn and refiled decreased from 18.6% and 18.3% in 2017 and 2018, respectively, to 7.8% in 2019; and (iv) only 4.3% of transactions reviewed by CFIUS during 2019 were abandoned as a result of CFIUS issues, compared to 10.5% and 8.7% in 2017 and 2018, respectively.
Continue Reading CFIUS Releases 2019 Annual Report