Sanctioned Swiss ‘supported Russian military supply chain’

Russian oligarch Suleiman Kerimov, previously sanctioned for his links to the Kremlin, allegedly runs parts of his business empire through Switzerland. Keystone / Yuri Kochetkov

Several Swiss nationals and companies have been sanctioned by the United States for allegedly being part of a “transnational network procuring technology that supports the Russian military-industrial complex”.

The sanctions, announced by Washington on MondayExternal link, targeted 14 people and 28 entities with links to business interests that support Russia’s invasion of Ukraine, including those of oligarchs Suleiman Kerimov and Murat Aliev.

Several of the sanctions point directly at Switzerland.

The US Department of the Treasury’s Office of Foreign Assets Control (OFAC) said it had identified “a global network of financial facilitators, enablers, and others associated with two key Kremlin-linked elites whose fortunes are intertwined with the West”.

Swiss national Alexander-Walter Studhalter has been sanctioned for being a “key player in Kerimov’s financial network” and allegedly laundering “significant amounts of money on Kerimov’s behalf”.

Two of Studhalter’s sons and eight companies linked to the family have also been placed on the US sanctions list.

Another Swiss national, plus a nephew of Kerimov who lives in Switzerland and another Swiss company were also named as being part of the oligarch’s business network.

The sanctions also allege Swiss connections to a key Kerimov ally, Russian entrepreneuer Murat Aliev. A further Swiss national, Inga Rettich, has been sanctioned for reported links between Studhalter and Aliev.

Separately, Swiss holding company Milur and two Swiss executives have been sanctioned. Milur is believed to be a front company for international firms that support Russian military research and development networks.

Two Swiss companies were also added to the list for apparently holding assets linked to sanctioned Russian business mogul Andrey Guryev.

Further pressure 

The latest US sanctions heap further pressure on Switzerland, which has been accused of not doing enough to freeze Russian assets. The spotlight has focused on so-called ‘enablers’, typically lawyers and financiers who hide money trails.

Switzerland follows European Union sanctions against Russia and says it has blocked billions of oligarch dollars in Swiss bank accounts and frozen other assets, such as property.

US ambassador to Bern, Scott Miller, has praised Swiss efforts to block Russian funds after its invasion of Ukraine.

The State Secretariat for Economic Affairs (SECO), the Swiss government agency responsible for enforcing sanctions, said that US sanctions have “no direct legal effect in Switzerland” and that no US sanctions have so far been adopted by the Swiss authorities – unlike EU sanctions, which have been adopted.

SECO added that it does not give any information on possible future sanctions or actions against individuals or entities.