Document ID: BIS-2023-0001-0001
Agency: bis
Document Type: Rule
Title: Modification to the Entity List
Posted Date: 2022-12-23T05:00Z

[Federal Register Volume 87, Number 246 (Friday, December 23, 2022)]
[Rules and Regulations]
[Pages 78856-78857]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2022-28033]

[[Page 78856]]

=======================================================================
-----------------------------------------------------------------------

DEPARTMENT OF COMMERCE

Bureau of Industry and Security

15 CFR Part 744

[Docket No. 221220-0279]
RIN 0694-AJ05

Modification to the Entity List

AGENCY: Bureau of Industry and Security, Department of Commerce.

ACTION: Final rule.

-----------------------------------------------------------------------

SUMMARY: The Bureau of Industry and Security is amending the Export 
Administration Regulations (EAR) by modifying one entity on the Entity 
List. This final rule modifies one entity on the Entity List under the 
destination of Russia.

DATES: This rule is effective December 21, 2022.

FOR FURTHER INFORMATION CONTACT: Chair, End-User Review Committee, 
Office of the Assistant Secretary for Export Administration, Bureau of 
Industry and Security, Department of Commerce, Phone: (202) 482-5991, 
Email: [email protected].

SUPPLEMENTARY INFORMATION:

Background

    The Entity List (supplement No. 4 to part 744 of the EAR (15 CFR 
parts 730-774)) identifies entities for which there is reasonable cause 
to believe, based on specific and articulable facts, that the entities 
have been involved, are involved, or pose a significant risk of being 
or becoming involved in activities contrary to the national security or 
foreign policy interests of the United States, pursuant to Sec.  
744.11(b). The EAR impose additional license requirements on, and limit 
the availability of, most license exceptions for exports, reexports, 
and transfers (in-country) where a listed entity is a party to the 
transaction. The license review policy for each listed entity is 
identified in the ``License Review Policy'' column on the Entity List, 
and the impact on the availability of license exceptions is described 
in the relevant Federal Register document that added the entity to the 
Entity List. The Bureau of Industry and Security (BIS) places entities 
on the Entity List pursuant to part 744 (Control Policy: End-User and 
End-Use Based) and part 746 (Embargoes and Other Special Controls) of 
the EAR.
    The End-User Review Committee (ERC), composed of representatives of 
the Departments of Commerce (Chair), State, Defense, Energy and, where 
appropriate, the Treasury, makes all decisions regarding additions to, 
removals from, or other modifications to the Entity List. The ERC makes 
all decisions to add an entry to the Entity List by majority vote and 
makes all decisions to remove or modify an entry by unanimous vote.

Modification to the Entity List

    The agencies represented on the ERC determined to modify Private 
Military Company `Wagner' on the Entity List, under the destination of 
Russia. This entry is modified by adding one address, two additional 
aliases, and a footnote 3 designation. A footnote 3 designation means 
that an entity has been determined to be a Russian or Belarusian 
`military end user.' This entity was originally added to the Entity 
List on June 22, 2017, for having been determined by the U.S. 
Government to be acting contrary to the national security or foreign 
policy interests of the United States under Sec.  744.11. (82 FR 28405) 
This entry is being modified because the entity was determined to be a 
Russian military end user under Sec.  744.21 of the EAR. Licenses for 
this entity will now be reviewed under a policy of denial for all items 
subject to the EAR apart from food and medicine designated as EAR99, 
which will be reviewed on a case-by-case basis. The license 
requirements under this entry also extend to any export, reexport and 
transfer (in-country) to the entity wherever located worldwide.

Savings Clause

    For the changes being made in this final rule, shipments of items 
removed from eligibility for a License Exception or export, reexport, 
or transfer (in-country) without a license (NLR) as a result of this 
regulatory action that were en route aboard a carrier to a port of 
export, reexport, or transfer (in-country), on December 21, 2022, 
pursuant to actual orders for export, reexport, or transfer (in-
country) to or within a foreign destination, may proceed to that 
destination under the previous eligibility for a License Exception or 
export, reexport, or transfer (in-country) without a license (NLR).

Export Control Reform Act of 2018

    On August 13, 2018, the President signed into law the John S. 
McCain National Defense Authorization Act for Fiscal Year 2019, which 
included the Export Control Reform Act of 2018 (ECRA) (50 U.S.C. 4801-
4852). ECRA provides the legal basis for BIS's principal authorities 
and serves as the authority under which BIS issues this rule.

Rulemaking Requirements

    1. This rule has been determined to be not significant for purposes 
of Executive Order 12866.
    2. Notwithstanding any other provision of law, no person is 
required to respond to or be subject to a penalty for failure to comply 
with a collection of information, subject to the requirements of the 
Paperwork Reduction Act of 1995 (44 U.S.C. 3501 et seq.) (PRA), unless 
that collection of information displays a currently valid Office of 
Management and Budget (OMB) Control Number. This regulation involves 
collections previously approved by OMB under control number 0694-0088, 
Simplified Network Application Processing System, which includes, among 
other things, license applications and commodity classifications, and 
carries a burden estimate of 29.4 minutes for a manual or electronic 
submission for a total burden estimate of 33,133 hours. Total burden 
hours associated with the PRA and OMB control number 0694-0088 are not 
expected to increase as a result of this rule.
    3. This rule does not contain policies with federalism implications 
as that term is defined in Executive Order 13132.
    4. Pursuant to section 1762 of the Export Control Reform Act of 
2018, this action is exempt from the Administrative Procedure Act (5 
U.S.C. 553) requirements for notice of proposed rulemaking, opportunity 
for public participation, and delay in effective date.
    5. Because a notice of proposed rulemaking and an opportunity for 
public comment are not required to be given for this rule by 5 U.S.C. 
553, or by any other law, the analytical requirements of the Regulatory 
Flexibility Act, 5 U.S.C. 601, et seq., are not applicable. 
Accordingly, no regulatory flexibility analysis is required and none 
has been prepared.

List of Subjects in 15 CFR Part 744

    Exports, Reporting and recordkeeping requirements, Terrorism.

0
Accordingly, part 744 of the Export Administration Regulations (15 CFR 
parts 730-774) is amended as follows:

PART 744--[AMENDED]

0
1. The authority citation for part 744 continues to read as follows:

[[Page 78857]]

    Authority:  50 U.S.C. 4801-4852; 50 U.S.C. 4601 et seq.; 50 
U.S.C. 1701 et seq.; 22 U.S.C. 3201 et seq.; 42 U.S.C. 2139a; 22 
U.S.C. 7201 et seq.; 22 U.S.C. 7210; E.O. 12058, 43 FR 20947, 3 CFR, 
1978 Comp., p. 179; E.O. 12851, 58 FR 33181, 3 CFR, 1993 Comp., p. 
608; E.O. 12938, 59 FR 59099, 3 CFR, 1994 Comp., p. 950; E.O. 13026, 
61 FR 58767, 3 CFR, 1996 Comp., p. 228; E.O. 13099, 63 FR 45167, 3 
CFR, 1998 Comp., p. 208; E.O. 13222, 66 FR 44025, 3 CFR, 2001 Comp., 
p. 783; E.O. 13224, 66 FR 49079, 3 CFR, 2001 Comp., p. 786; Notice 
of September 19, 2022, 87 FR 57569 (September 21, 2022); Notice of 
November 8, 2022, 87 FR 68015 (November 10, 2022).

0
2. Supplement No. 4 to part 744 is amended under RUSSIA by revising the 
entry for ``Private Military Company `Wagner' '' to read as follows:

Supplement No. 4 to Part 744--Entity List

* * * * *

----------------------------------------------------------------------------------------------------------------
                                                             License          License review    Federal Register
        Country                     Entity                 requirement            policy            citation
----------------------------------------------------------------------------------------------------------------
 
                                                  * * * * * * *
----------------------------------------------------------------------------------------------------------------
RUSSIA                                                          * * * * * *
                         Private Military Company      For all items        Policy of denial   82 FR 28408, 6/22/
                          `Wagner', a.k.a., the         subject to the       for all items      17. 87 FR
                          following five aliases:       EAR. (See Sec.       subject to the     [INSERT FR PAGE
                         --Chastnaya Voennaya           Sec.                 EAR apart from     NUMBER] 12/23/
                          Kompaniya `Vagner';           734.9(g),\3\         food and           22.
                         --Chvk Vagner;                 746.8(a)(3), and     medicine
                         --PMC Wagner;                  744.21(b) of the     designated as
                         --Wagner Group; and            EAR). The license    EAR99, which
                         --Vagner Group.                requirements under   will be reviewed
                         15 Zolnaya Street, Saint       this entry also      on a case-by-
                          Petersburg, 195213, Russia    extend to any        case basis. See
                                                        export, reexport     Sec.  Sec.
                                                        and transfer (in-    746.8(b) and
                                                        country) to the      744.21(e).
                                                        entity wherever
                                                        located worldwide
                                                                * * * * * *
 
                                                  * * * * * * *
----------------------------------------------------------------------------------------------------------------

* * * * *

Thea D. Rozman Kendler,
Assistant Secretary for Export Administration.
[FR Doc. 2022-28033 Filed 12-21-22; 4:15 pm]
BILLING CODE 3510-JT-P