The legal sector is not affected by the latest round of sanctions announced by foreign secretary Liz Truss yesterday covering services exports to Russia.
The Foreign, Commonwealth & Development Office said the decision will ‘cut off Russia’s access to the UK’s management consulting, accounting and PR services’, adding that the UK has now sanctioned over 1,600 individuals and entities.
‘Doing business with Putin’s regime is morally bankrupt and helps fund a war machine that is causing untold suffering across Ukraine,’ Truss said. ‘Cutting Russia’s access to British services will put more pressure on the Kremlin and ultimately help ensure Putin fails in Ukraine.’
Business secretary Kwasi Kwarteng added: ‘Our professional services exports are extraordinarily valuable to many countries, which is exactly why we’re locking Russia out. By restricting Russia’s access to our world-class management consultants, accountants and PR firms, we’re ratcheting up economic pressure on the Kremlin to change course.’
But legal services remain untouched by the latest wave of sanctions, the Gazette understands, leaving lawyers free to act for sanctioned clients so long as they have a licence from the Office of Financial Sanctions Implementation (OSFI) to receive reasonable fees for legal advice.
The invasion of Ukraine has turned the spotlight on law firms acting for Russian clients, with parliamentarians criticising ‘amoral’ lawyers and one US congressman even calling for travel bans for those representing ‘Russian oligarchs’.
The Solicitors Regulation Authority has begun spot checks on firms said to be working for Russian oligarch clients, with firms reminded of their obligations to comply with anti-money laundering requirements.
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