Treasury Targets Wagner Group's Illicit Operations in Central African Republic

The U.S. Department of the Treasury's Office of Foreign Assets Control (OFAC) has taken action against two companies linked to the Russian private military company known as the Wagner Group, in an effort to counter Russia's destabilizing activities in Africa, particularly in the Central African Republic (CAR).

The sanctioned entities are Mining Industries SARLU and Logistique Economique Etrangere SARLU, both based in CAR. According to the Treasury Department, these companies have been enabling Wagner Group security operations and illicit mining endeavors in the country.

Since its arrival in CAR in late 2017, the Kremlin-backed Wagner Group and companies formerly controlled by the now-deceased Yevgeny Prigozhin have established a vast network in the country, advancing Russia's destabilizing activities at the expense of CAR's sovereignty.

Mining Industries SARLU is accused of leasing aircraft from a UAE-based aviation company, Kratol Aviation, which was previously sanctioned for supporting the Wagner Group. These aircraft have been used to move Wagner Group personnel and equipment through CAR and other parts of Africa. Additionally, Mining Industries has imported chemicals commonly used in mining, likely to support Wagner Group's illicit mining activities.

Logistique Economique Etrangere SARLU, on the other hand, received hundreds of shipments of heavy materials from a Russia-based company linked to Prigozhin, which were likely intended for Wagner Group-linked illicit mining operations, such as developing new mining sites or processing plants.

Brian E. Nelson, Under Secretary of the Treasury for Terrorism and Financial Intelligence, stated, "The Russia-backed Wagner Group and its network of businesses have exploited the people and natural resources of the Central African Republic to advance the group's agenda. The United States will continue to use its sanctions authorities to disrupt those supporting Russia's destabilizing activities in Africa."

The Treasury Department has designated these companies pursuant to Executive Order 14024, which aims to counter the Russian government's harmful activities, including those related to the Wagner Group's operations in CAR.

The sanctions freeze any U.S. assets of the designated entities and generally prohibit U.S. persons from engaging in transactions with them. The move is part of a broader effort by the U.S. government to disrupt the Wagner Group's global operations and hold accountable those enabling its activities, which have been linked to human rights abuses and exploitation of natural resources in various African countries.

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