Top Story

Extreme Networks to Pay $2.02 Million Over Russian Defense Sales

The transactions benefited Moscow Machinery Building Plant Avangard, a manufacturer associated with Russia’s S-300 and S-400 air-defense systems.
The case shows how delayed disclosure and unresolved sanctions warnings can turn a modest sales account into a multimillion-dollar enforcement matter. Extreme’s cooperation and remediation secured DOJ’s first “near miss” non-prosecution agreement, but reporting only after a journalist presented new evidence cost it eligibility for a declination.
Seoul,South Korea
Commerce Blocks Export-Control Exception for South
Senior Commerce Department officials have frozen expansion of a program that rewards foreign governments for adopting export controls comparable to those of the United States, rejecting South Korea …
U.S. Treasury Building, Washington
Treasury Proposes Broader Outbound Investment Controls, Extending Restrictions to Biotechnology
The Treasury Department has proposed expanding restrictions on U.S. investment in sensitive foreign technologies, with consequences for technology companies, private investment funds, multinational businesses and drug developers. The October 22 proposal would broaden existing controls on semiconductors, artificial intelligence and quantum technologies while adding biotechnology, hypersonic systems and additional high-performance computing activities. 
Kaja Kallas, High Representative for Foreign Affairs and Security Policy/Vice-President of the European Commission
EU Prepares Blocking Statute to Counter U.S. Sanctions on International Criminal Court
The proposed EU action would shield European banks, technology companies and other service providers from U.S. sanctions targeting the International Criminal Court, potentially creating conflicting legal obligations for firms operating in both jurisdictions. Brussels is preparing to extend its blocking statute as Washington presses the court to amend the Rome Statute to protect President Trump and other U.S. officials from prosecution.

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– Frank Ruffing, Editor 

Our latest news

White House Pressure to Unwind Kremlin Sanctions Builds

The Trump administration’s efforts to ease sanctions on Russia could open substantial commercial opportunities for Russian state interests and private investors, combining newly authorized diesel sales with a proposed $25 billion Alaska gas venture and possible relief for the Kremlin’s multibillion-dollar investment fund.

FCC Covered List Enforcement: Conditional Approvals Offer Market Access

The Federal Communications Commission is extending its national-security restrictions deeper into electronics supply chains while allowing specified foreign-produced equipment to enter the U.S. market through conditional approvals. The developments make component sourcing and compliance with approval conditions increasingly important to manufacturers’ access to U.S. customers.

Treasury Proposes Biotechnology Investment Controls

The Treasury Department issued proposed regulations October 22 adding biotechnology to the U.S. outbound-investment screening regime, advancing a central objective of the bipartisan Biotech Investment National Security Act (BINSA).

Lawmakers warn banks and ports of legal risks in Trump’s Russian diesel deal

A bipartisan group of U.S. lawmakers has warned major banks, port authorities and fuel distributors that facilitating Russian diesel imports under President Donald Trump’s agreement with Moscow could expose them to legal action and congressional investigations.

FinCEN Issues Translated Versions of Iran Whistleblower Bulletin

The translations broaden FinCEN’s outreach to potential sources of information on Iran-related illicit finance, including individuals outside the United States. But material errors in several versions could undermine that effort by misstating award percentages, narrowing the apparent scope of sanctions restrictions, or distorting indicators of terrorist financing.

FCC Blocks Two Devices With Huawei Subsidiary’s Chips

The FCC’s action extends the consequences of its national-security restrictions beyond listed companies to manufacturers that use their components. For device makers, a supplier’s choice of semiconductor can now jeopardize access to the U.S. market, increasing pressure to trace components through the supply chain.
Enforcement
U.S. prosecutors have brought an alleged cryptocurrency scam money launderer from the Netherlands to a California courtroom, advancing a case involving more than $36.9 million in victim funds routed through U.S. bank accounts, a Bahamian bank, and stablecoin wallets to Cambodian scam operators.
A Miami-area cryptocurrency broker faces a federal money laundering conspiracy charge over his alleged role in a Russian network that converted drug proceeds into cryptocurrency and bank payments through an international system of brokers and cash couriers.
The Justice Department is seeking approximately $290.4 million in unpaid duties and fraud penalties from Uni-Tile & Marble Inc. and its chief executive officer, Xin Mian Pan, in a civil customs enforcement action that examines their alleged role in imports entered through other companies.
Sanctions
Western studios have employed DPRK animators for children's entertainment and religious programming.

OFAC Removes Chinese Cartoon Firm and another Belarusian from SDN List

The removals unwind sanctions imposed in 2021 on Chinese animation businesses and an intermediary accused of supporting North Korea’s SEK Studio, and on a Belarusian executive designated for acting on behalf of state oil and chemical concern Belneftekhim.

Treasury Targets Law Firm and Maritime Network Supporting Iranian Trade

The U.S. Treasury Department on October 21 sanctioned law firm Karnakis and Karnakis , five associated individuals, a cargo fleet operator, and two shipping agents. OFAC also identified nine vessels as blocked property and issued two limited Iran-related general licenses.

Aid and Comfort

President Trump issued an executive order on October 16 implementing the Lindsey O. Graham Sanctioning Russia and Iran Act of 2026 while waiving its tariff provisions and numerous sanctions and restrictions.
Policy Briefs
China’s National Development and Reform Commission has revised its outbound investment rules to require immediate reporting of certain foreign demands for technology, data or divestitures. The Measures for the Administration of Outbound Investment, announced October 22, take effect December 1, 2026, replacing the 2017 measures.
The reshuffling provides targeted relief to politically sensitive industries without reducing the broader tariff burden or easing the U.S.-Canada trade conflict. It also reinforces concerns that the administration views Section 338 as a flexible tariff power that permits rapid product changes without ordinary procedural safeguards—an interpretation now facing its first court challenge.
The OCC’s final rule establishes reserve, capital, redemption and supervisory standards for stablecoin issuers but drops proposed restrictions on indirect yield payments, raising banking industry concerns over deposit competition. Separate FinCEN-OFAC proceedings leave key anti-money laundering and sanctions requirements unresolved ahead of the January 18, 2027, effective date.
Tariffs & Trade
China’s revised procedures offer greater predictability when suppliers’ shipments face scrutiny over potential dual-use export controls, along with a way to seek separate clearance of unrelated goods.
The Office of the U.S. Trade Representative announced separate developments under the United States–Mexico–Canada Agreement’s Rapid Response Labor Mechanism: successful resolution of the Amphenol Optimize México case and a remediation plan for Newmont’s Minera Peñasquito mine. Both matters concern interference with union activity and retaliatory dismissals.
President Trump directed Commerce Secretary Howard Lutnick and U.S. Trade Representative Jamieson Greer to negotiate agreements addressing wind-turbine imports, adding a trade measure to his administration’s efforts to restrict wind development.
Export Controls

UK Proposes Updates to Strategic Export Controls, Including Advanced Technology Restrictions

HMS Westminster fires Harpoon anti-ship missiles

The proposed amendments would update UK military and dual-use controls, including those covering semiconductor manufacturing equipment, advanced computing and specialised materials; revise country listings for Haiti and the Central African Republic; and phase out GEA001 in Great Britain.

BIS Affiliates Rule Set to Return November 10; Trade Truce Extension Awaits Implementation

Commerce Dept

The Bureau of Industry and Security’s Affiliates Rule remains scheduled to return on November 10, 2026. The reported extension of the U.S.–China Busan trade agreement through January 10, 2027, could prolong the suspension, but Commerce has not confirmed that the extension covers the rule. Once reinstated, the rule will extend specified Export Administration Regulations restrictions to unlisted foreign entities owned at least 50 percent, directly or indirectly, individually or in the aggregate, by covered parties on the Entity List, Military End-User List or SDN List under sanctions programs identified in EAR § 744.8(a)(1).

FCC Considers ITAR and EAR Compliance Requirements for Satellite Licensing

NASA’s Tandem Reconnection and Cusp Electrodynamics Reconnaissance Satellites mission deploys into orbit. July 23, 2025.

The Federal Communications Commission is seeking comment on whether satellite and earth station applicants should certify compliance with U.S. export controls, maintain supporting records, and disclose related federal reviews in transactions involving foreign ownership. The proposals would expressly connect FCC licensing with obligations under the International Traffic in Arms Regulations (ITAR) and Export Administration Regulations (EAR).

Licensing
The State Department’s Directorate of Defense Trade Controls has proposed revisions to the U.S. Munitions List, key ITAR definitions, and licensing exemptions. The proposal follows September actions revising country policies, narrowing controls on uncrewed underwater vehicles, and correcting inadvertent deletions from exemption provisions.
 An unexplained death at a Russian high-containment biological research facility is putting renewed attention on a problem that U.S. export-control officials have been confronting for several years: biotechnology is advancing faster than the regulatory architecture intended to keep dangerous biological capabilities from proliferating.
The State Department’s Directorate of Defense Trade Controls is scheduled to publish a proposed rule on October 1 that would narrow U.S. Munitions List controls, revise key ITAR definitions, and establish a license exemption for temporary exports of foreign defense articles for servicing and repair.
Practitioner Profiles

Import regulation and export controls: "two sides of the same coin"

Nazak Nikakhtar chairs Wiley Rein’s National Security Practice

In the waning days of Summer, we sat down with Nazak Nikakhtar, former Commerce Department official and current Chair of Wiley Rein's National Security Practice to hear her thoughts on ECRA, the Entity List, BIS-ITA interplay, and navigating a career in private practice and public service.

People

Andrea Gacki Leaves Record of Pragmatic Enforcement

Andrea Gacki is closing a 25-year career in federal service with an enforcement action that neatly captures her approach: exacting about failures, skeptical of paper compliance and focused on whether financial controls work in practice.

BIS Nominee: Export Controls Must Balance Security and Economics

Abby Warren, President Donald Trump’s nominee to lead export administration at the Commerce Department’s Bureau of Industry and Security, told the Senate Banking Committee July 23 that export controls should address significant national-security risks while accounting for their economic impact

Practitioner Profile: Tim O'Toole

The always cool and ever-original Tim O’Toole, practice lead for Miller & Chevalier Chartered’s export controls and sanctions team, indefatigable compliance educator and host of the Embargoed! Podcast took some time ahead of Independence Day to talk enforcement trends. 

Erich Ferrari: 'Sanctions are simple, but they're not easy.'

For businesses and individuals who find themselves on the Office of Foreign Assets Control’s Specially Designated Nationals list, a few firms stand out that offer hope for redemption. Ferrari & Associates is one of them. With 17 years of experience advising clients on how to get off OFAC’s list or avoid sanctions in the first place, founder Erich Ferrari has racked up wins, bringing more than a few blacklisted entities back to life from the designation known as “civil death.”
Mario Mancuso
Practitioner Profile: Mario Mancuso
Before the semiconductor tensions of the 2020s and the export control reforms of the 2010s, Mario Mancuso led the Bureau of Industry and Security in the final years of the Bush administration — pushing the agency toward greater prominence and deeper national security impact.
Sarah E. Gerdes
Practitioner Profile: Sarah Gerdes
West Coast attorney Sarah Gerdes joined Akin’s international trade practice in Los Angeles at the start of the year as part of its national security & global investigations team after a distinguished tenure in the U.S. Attorney’s Office for the Central District of California, where she most recently served as the Deputy Chief of the National Security Division and Assistant U.S. Attorney. In conversation with The Export Practitioner, edited for length and clarity below, she shared lessons from her experience leading national security investigations and advice for meeting the current moment in enforcement.
Ryan P. Fayhee
Q&A with Ryan Fayhee
Ryan Fayhee, now a partner at Akin Gump, led the issue with his contribution on extradition in export enforcement cases. The piece urged prosecutors to emphasize the deception rogue exporters and middlemen undertake to thwart U.S. national security restrictions in order to sway foreign counterparts, as well as the proper interpretation of dual-criminality treaties. The article was published near the end of Fayhee’s illustrious 11-year run at the U.S. Department of Justice, where he cut his teeth on cross-border investigations covering espionage, sanctions and embargoes, arms proliferation, trade secret theft, cybercrime, corruption, and money laundering. He capped his tenure in the department’s National Security Division as the government’s principal attorney for sanctions and export control prosecutions.  Fayhee granted The Export Practitioner an interview, edited for length and clarity below, to discuss how international collaboration in export controls has evolved, how investigations look from the private sector and his ongoing work to bring people back to the U.S.