The United States on 27 June, accused companies in the United Arab Emirates, the Central African Republic, and Russia of engaging in illicit gold deals to finance mercenaries. The proceeds are allegedly used to fund Russia’s Wagner Group fighters.
The U.S. Treasury Department said in a statement it has sanctioned four companies linked to Wagner and its leader, Yevgeny Prigozhin. These companies are allegedly funding the paramilitary’s forces fighting in Ukraine. They are also undertaking operations to support Russian interests in Africa.
“The Wagner Group funds its brutal operations in part by exploiting natural resources in countries like the Central African Republic and Mali.”
“The United States will continue to target the Wagner Group’s revenue streams to degrade its expansion and violence in Africa, Ukraine, and anywhere else,” Brian Nelson, Treasury undersecretary for terrorism and financial intelligence, said in the statement.
The State Department said the sanctions were unrelated to Wagner’s short-lived mutiny last weekend against Russian President Vladimir Putin and Moscow’s defense leadership for its handling of Russia’s war against Ukraine.
The sanctions block any assets the companies hold in the U.S. The sanctions also prohibit them from engaging in new deals in the U.S.
Wagner has fought in Libya, Syria, the Central African Republic, and Mali. They have also fought some of the bloodiest battles of the 16-month war in Ukraine, including at Bakhmut.
Wagner was founded in 2014 after Russia illegally annexed Ukraine’s Crimea Peninsula and started supporting pro-Russia separatists in Ukraine’s eastern Donbas region.
Russia’s embassy in Washington and Industrial Resources did not immediately respond to requests for comment.
Reporters could not immediately reach a spokesperson for Midas Ressources, Diamville, or Limited Liability Company DM.
Andrey Nikolayevich Ivanov, a Russian national, was also sanctioned. The Treasury Department accused him of being an executive in the Wagner Group. The US authorities said he worked closely with senior Malian officials on weapons deals, mining concerns, and other Wagner activities in the country.
