Update on Russia-related sanctions and how they may affect you

On May 8, 2022 the U.S. Department of the Treasury’s Office of Foreign Assets Control (OFAC) released new sanctions against Russia, and new regulations for Registered Agents, specifically, which will require all American Registered Agents to cease performing services and accepting payments from Russian clients.

This OFAC regulation comes with strict penalties for Agents who try to carry-on surreptitiously or deceptively. They also describe the types of American service companies that are affected and the types of services that are prohibited. Clearly, forming entities and serving as a Registered Agent are specifically prohibited.

These new prohibitions go into effect on June 7, 2022. This means that Harvard Business Services, Inc. can no longer provide company formation services or Delaware Registered Agent Services to clients who reside in Russia or have Russian citizenship. There is a service wind-down period between June 7, 2022 and July 7, 2022 to stop providing those services and cease all operations providing new formations or Registered Agent services to Russian-owned U.S. entities.

We at Harvard Business Services, Inc will follow the new requirements and will comply with the sanctions introduced by the U.S. Department of Treasury. This applies to every single American Registered Agent and they are legaly required to comply with the actions taken by the Department of Treasury . If some don’t, or try to find a way around the requirements, they will face strict penalties and their clients may also face fines and/or other sanctions. 

Here is the  U.S. Treasury’s Press Release

Here is the  Department of Treasury’s Russia Sanctions FAQ