Which Russian tycoons has the US sanctioned?

Corporations and billionaires in the energy, finance, and banking sectors are all on the blacklist as the US prepares new sanctions against Russia following the MH17 tragedy in Ukraine.

According to experts, the new sanctions will expand travel bans and asset freezes to include more Russian billionaires and companies than before.

Since Russia annexed Crimea in March, European leaders have been hesitant to impose sanctions due to close trade ties with Russia. But the downing of Malaysia Airlines flight MH17, which claimed the lives of 298 passengers – mostly European citizens – could force Europe to impose stronger sanctions.

Yesterday, European officials met to discuss ways to pressure Russia to end its support for separatist forces in Ukraine. British Prime Minister David Cameron stated that evidence suggests separatists likely shot down the plane. "Russia cannot continue to have free access to European markets, capital, knowledge, and technology while simultaneously exacerbating political conflict here," he said.

Meanwhile, the US has long imposed tough sanctions on Russia, targeting dozens of companies and individuals believed to be linked to Russian President Vladimir Putin. These sanctions don't apply to the entire economy, but rather to key components. According to CNN, here are the 10 most important entities in Russia currently subject to US sanctions.

1. Rosneft

This is the largest oil company in Russia, a partner of ExxonMobil (US) and partly owned by BP (UK). The company has lost access to long-term capital in the US, but its assets are not frozen and it remains free to conduct business with individuals and organizations there. Rosneft is expected to soon complete the acquisition of Morgan Stanley's oil business.

2. Novatek

This is Russia's largest independent gas producer. Novatek is subject to similar sanctions as Rosneft. The company currently has 46% of its debt denominated in USD, according to BNP Paribas. However, Novatek still has many opportunities to find long-term investors to replace the US.

3. VEB

This bank is responsible for payments to the Russian government and its chairman is the Russian Prime Minister, Dmitry Medvedev. The sanctions against the bank are similar to those against Rosneft. Therefore, VEB will have to reduce its use of USD in the future. The bank can also raise capital in other currencies, from domestic investors and the Russian central bank.

4. Gazprombank

This is the main bank financing Russia's energy sector, a pillar of the economy. Its major shareholder is the gas giant Gazprom, which supplies nearly a third of Europe's natural gas. The bank is less dependent on the US market and can rely on support from the Russian government due to its importance to the economy. The sanctions against the company are similar to those against Rosneft.

5. Kalashnikov

This is Russia's largest gun manufacturer, famous for its AK-47 rifle. They are one of eight Russian arms companies whose assets have been frozen by the US and who are prohibited from doing business with American companies and individuals.

6. Igor Sechin

Sechin is the CEO of Rosneft and one of dozens of Russian individuals whose assets have been frozen by the US. He previously stated that the drop in Rosneft's stock price due to sanctions news in March was an opportunity for investors to buy. Last week, Sechin also warned that the US blacklisting of Rosneft was a blow to the Russian economy, and therefore, American banks and investors would bear the consequences.

7. Yuri Kovalchuk

Kovalchuk is close to President Putin and has had his assets frozen since March. He is the largest shareholder of Bank Rossiya, a bank also under US sanctions. Bank Rossiya is considered "Putin's personal bank" and is the 17th largest bank in Russia. Its priority sectors are oil and gas. Three of its branches are on the US blacklist.

8. Gennady Timchenko

Oil billionaire Timchenko is the founder of Gunvor, an energy trading company based in Geneva, Switzerland. He became famous after selling off all his shares in Gunvor two days before being added to the US sanctions list. Timchenko's Russian conglomerate, Volga Group, and several of its subsidiaries also had their assets frozen by the US.

9. Sergei Chemezov

Chemezov is the director of Rosneft and was appointed by Putin to run Rostec. Rostec is a state-owned corporation that manages 13 subsidiaries, eight of which operate in the defense industry. Boeing (USA) and Allegheny Technologies (USA) are two of the company's foreign partners.

10. Boris and Arkady Rotenberg

Arkady Rotenberg has had a close relationship with Putin for a long time, due to being in the same Judo club. The US Treasury Department alleges that the Rotenberg brothers supported Putin's projects by securing and executing contracts worth $7 billion for the Sochi Olympics in Russia. They own two banks subject to US sanctions: InvestCapitalBank and SMP Bank.

According to Vnexpress.net