While Russian TV presenter Dimitri Simes has been indicted by the U.S. ahead of the presidential election for violating sanctions and money laundering, his wife Anastasia has been charged with buying art and antiquities for a sanctioned Russian oligarch, Aleksandr Udodov.
Anastasia purchased works from galleries and auction houses in the U.S. and Europe. After storing pieces in their home in Virginia, works were shipped onward to Russia.
This brings to mind the Luxury Goods Ban and how it varies between jurisdictions:
- In the UK, businesses are not to transact with someone purchasing a luxury good priced at £250+ if its destination is Russia or Belarus and/or if the buyer is “connected with” Russia or Belarus.
- In the U.S. and EU, the focus is only on the destination (at any value for the U.S. and €300 for EU).
In this situation, businesses presumably identified the destination as the Virginia residence. However, that was not the ultimate destination of art.
This is an evasion of sanctions and makes sense of the UK’s wider scope for the Luxury Goods Ban. Circumvention is the name of the game for individuals involved in economic crime.
See our Knowledge Base article on the Luxury Goods Ban .