On January 31, 2023, Canada announced amendments to the Special Economic Measures (Burma) Regulations (the “Regulations”) in response to the “ongoing repression of the people of Myanmar by the military”. These amendments list an additional six individuals under the Schedule of the Regulations, and include a new prohibition on the export, sale, supply or shipment of aviation fuel (wherever situated globally) destined for Myanmar or any person in Myanmar. These amendments took effect on January 27, 2023.
There are now over 150 parties listed under the Schedule of the Regulations. All of the newly listed individuals are senior figures in the Myanmar military who are responsible for “international humanitarian and human rights law violations”, including the increased use of aerial attacks against civilians.
Generally speaking, listing under the Schedule of the Regulations imposes a dealings prohibition, effectively an asset freeze, against the listed person. Any person in Canada or any Canadian outside Canada cannot:
- deal in any property, wherever situated, that is owned, held or controlled, directly or indirectly, by a listed person;
- enter into or facilitate any transaction related to such a dealing;
- provide any financial or other related services in respect of such a dealing;
- make available any goods, wherever situated, to a listed person or to a person acting on their behalf; or
- provide any financial or related service to, or for the benefit of, a listed person.
This is the ninth amendment to the Regulations, implemented in response to the military coup in February 2021.
Businesses should continually assess their sanctions compliance in this shifting legal landscape. Regulations enacted under the Special Economic Measures Act obligate persons in Canada and Canadian citizens to disclose certain property held by listed persons under Schedule 1 and any related transactional information to the RCMP. Additionally, certain entities have a continuing duty to determine and disclose certain property held by listed persons.
An unofficial copy of the legislative amendments to the Special Economic Measures (Burma) Regulations that came into effect on January 27, 2023 are available here.