Rusaviainvest, OOO v. Mnuchin et al

Filing 63

ORDER: The parties will file a joint letter by July 5, 2023, indicating whether Plaintiff or Vorobev have been designated under any such sanction program, and if so, what effect that development has on this case. and as set forth herein. SO ORDERED. (Signed by Judge Paul G. Gardephe on 6/27/2023) (ama)

UNITED STATES DISTRICT COURT
SOUTHERN DISTRICT OF NEW YORK
RUSAVIAINVEST, OOO,
Plaintiff,
v.
JANET YELLEN, in her official capacity as
The Secretary of the Treasury, ANDREA M.
GACKI, in her official capacity as the
Director of the Office of Foreign Assets
Control, MERRICK B. GARLAND, in his
official capacity as the Attorney General of
the United States, and UNITED STATES
DEPARTMENT OF THE TREASURY,
OFFICE OF FOREIGN ASSETS
CONTROL,

ORDER
18 Civ. 5676 (PGG)

Defendants.
PAUL G. GARDEPHE, U.S.D.J.:
In this action brought under the Administrative Procedure Act (“APA”), Plaintiff
Rusaviainvest, OOO challenges a decision by the U.S. Treasury Department’s Office of Foreign
Assets Control (“OFAC”) to block three wire transfers amounting to $1.4 million because a
person sanctioned under Executive Order 13224 has an interest in the funds. (Cmplt. (Dkt. No.
3) ¶¶ 1, 31)
The parties initially cross-moved for summary judgment in 2019. (Dkt. Nos. 37,
45) On May 27, 2020, this Court denied the parties’ motions without prejudice to renewal
because the parties’ dispute turns on classified information, and, as a result of the COVID-19
pandemic, it was not possible for the Court to review the classified material in the courthouse,
which was then closed. (Dkt. No. 52)

The parties’ renewed cross-motions for summary judgment were filed in January
2023. Defendants repeat that Plaintiff is not entitled to the relief it seeks because a person found
OFAC’s List of Specially Designated Nationals and Blocked Persons has an interest in the funds
at issue. (Def. Br. (Dkt. No. 58) at 7; id. at 14 (“[T]he blocked funds transfer in question
involves an interest of a person sanctioned pursuant to Executive Order 13224.”))
Plaintiff is a Russian limited liability corporation based in Moscow and is owned
entirely by Andrey Vorobev. (Cmplt. (Dkt. No. 3) ¶¶ 8-9) Since this case was filed in 2018
(id.), the Executive branch has enacted multiple new sanctions programs targeting various
Russian entities and persons. See, e.g., Executive Order 14024, 86 Fed. Reg. 20,249 (April 15,
2021); Executive Order 14065, 87 Fed. Reg. 36 (February 23, 2022). The parties’ briefing does
not discuss whether Plaintiff, or persons related to Plaintiff – including Andrey Vorobev – are
now sanctioned under any of these programs and, if so, what effect such sanctions would have on
the availability of the relief Plaintiff seeks.
The parties will file a joint letter by July 5, 2023, indicating whether Plaintiff or
Vorobev have been designated under any such sanction program, and if so, what effect that
development has on this case.
Dated: New York, New York
June 27, 2023
SO ORDERED.
_________________________________
Paul G. Gardephe
United States District Judge

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