The United States expanded sanctions on October 31, targeting almost 400 individuals and companies globally for allegedly aiding Russia's military efforts. The latest round includes sanctions companies from Bulgaria, Montenegro and Serbia. 

The Treasury Department's new sanctions build on previous measures, intensifying US efforts to curtail Russia's access to foreign technology and goods with potential military applications. Four Serbian companies and two individuals have already been sanctioned by the US Treasury for their alleged involvement in supplying Russian firms.

Among the companies now sanctioned are Ventrade DOO, a Serbian firm, and International Business Corporation (IBC), a Montenegrin entity, accused of supplying military equipment to Russia.

According to a statement by Serbia’s Secretariat for Finance, Ventrade DOO, based in Subotica, exported military-grade radios to Russia’s Promsvyazradio, a company specialising in radio broadcast equipment. Promsvyazradio is a prominent supplier of dual-use technologies critical to Russian military operations. The sanctions were imposed under a U.S. executive order targeting entities that provide “financial, material, or technological support” to Russia’s military industry, according to Voice of America.

Founded on April 6, 2022, Ventrade DOO entered Serbia's business register with founding capital of RSD120,000 ($1,100). The company’s director is Renata Meznerics, a Hungarian national.

Meanwhile, Montenegro’s IBC, owned by Russian citizen Sergey Kokorev, also faces sanctions. The US Treasury claims Kokorev used the company to ship machine centres and European-origin ball bearings to Russia, which were allegedly directed to Russian firms, including AMS Tekhnika, a distributor of industrial machinery.

The sanctions highlight Serbia and Montenegro's unique position in Europe, as two of the only countries, along with Bosnia & Herzegnovia, where Russians can travel to without a visa and continue to conduct business freely. While Montenegro has aligned with EU foreign policy on Russia, Serbia refuses to align itself with the bloc and impose sanctions on its traditional ally. 

The US also included three Bulgarian companies for providing military support to Russia as part of its latest blacklist.

Two of the companies, Mirex BG Ltd and GNO Investment Ltd, are owned by Turkish businessman Ozgur Hasan Celik, who was also sanctioned.

Celik’s Turkey-based Mirex Havacilik ve Savunma Sanayi Ticaret Anonim Serketi (Mirex) and the businessman had contracts with Russian government-affiliated defence companies to deliver and facilitate electronic warfare system demonstrations in Russia.

“Mirex has led efforts to locally assemble and manufacture equipment for Russian defence companies in Türkiye. Celik is the manager and co-owner of Bulgaria-based GNO Investment LTD OOD (GNO Investment), which he uses to facilitate Mirex’s defense production and procurement activities. Celik is also the manager and co-owner of Bulgaria-based Mirex BG LTD OOD (Mirex BG),” the US Department of Treasury said in a statement.

GNO and Mirex BG were blacklisted for being owned or directly controlled by Celik.

The third Bulgarian company, AIR LEO M and E Ltd, is sanctioned for supplying electronic components and parts to Russia. According to Radio Free Europe, the company has worked with Russia between March and December last year. The company’s owner, Vesselin Isakov, has denied breaching sanctions.