Exceptions relating to investments in relation to Russia60ZZA

1

The prohibitions in regulation 18B (investments in relation to Russia) are not contravened by any act done by a person (“P”) in satisfaction of an obligation of P arising under a contract concluded before the coming into force of the Amendment No.12 Regulations, or an ancillary contract necessary for the satisfaction of such a contract, provided that P has notified the Treasury no later than the day five working days before the day on which the act is carried out.

2

The prohibitions in regulation 18B are not contravened by a person dealing, directly or indirectly, with—

a

a transferable security where such dealing is prohibited by regulation 16;

b

a relevant security issued by a person connected with Russia; or

c

a relevant security issued by a relevant entity.

3

In this regulation—

• “dealing with” a relevant security issued by a person connected with Russia or by a relevant entity includes a reference to purchasing or selling the security, providing investment services relating to the security or assisting in the issuance of the security;

• “relevant entity” shall have the same meaning as it has in regulation 18B (investments in relation to Russia);

• “relevant security issued by a person connected with Russia” means a security issued by—

  1. a

     a person connected with Russia;

  2. b

     a person, other than an individual, which is owned by a person falling within sub-paragraph (a); or

  3. c

     a person, other than an individual, acting on behalf or at the direction of a person within sub-paragraph (a) or sub-paragraph (b);

  which—

  1. a

     is negotiable on the capital market;

  2. b

     is of any of the following kinds, but excluding instruments of payment—

     1. i

        shares in companies and other securities equivalent to shares in companies, partnerships or other entities, and depositary receipts in respect of shares;

     2. ii

        bonds or other forms of securitised debt, including depositary receipts in respect of such securities;

     3. iii

        any other securities giving the right to purchase or sell any security of a kind mentioned in paragraph (i) or (ii); and

  3. c

     was admitted to trading on a regulated market or multilateral trading facility prior to the coming into force of the Amendment (No. 12) Regulations;

• “relevant security issued by a relevant entity” means a security issued by a relevant entity, negotiable on the capital market, of any of the following kinds, but excluding instruments of payment—

  1. a

     shares in companies and other securities equivalent to shares in companies, partnerships or other entities, and depositary receipts in respect of shares;

  2. b

     bonds or other forms of securitised debt, including depositary receipts in respect of such securities;

  3. c

     any other securities giving the right to purchase or sell any security of a kind mentioned in paragraph (a) or (b).

• “the Amendment (No. 12) Regulations” means the Russia (Sanctions) (EU Exit) (Amendment) (No. 12) Regulations 2022;

• “transferable security” has the same meaning as it has in regulation 16 (dealing with transferable securities or money-market instruments).