Megafon clarifies GL 65 licensing and sanctions posture in US regulatory context

Megafon has publicly stated that the sanctions framework applied by the United States Treasury’s Office of Foreign Assets Control (OFAC) excludes the provision of communications services from its current restrictions. The company notes that a relevant license, published under number 65, commonly referenced as General License No. 65 (GL 65), appears on the sanction regulator’s official site and provides a clear authorization framework for specific telecom activities. GL 65 authorizes Megafon to export, re-export, sell, or supply telecommunications services along with related services, software, hardware, or technologies from the United States or by American persons. It also covers Internet-based communication services, ensuring that certain cross-border telecommunications activities can proceed under this license and within the bounds of U.S. law. The Megafon press service reiterated the key point that GL 65 addresses the provision of telecommunications services specifically via the Internet, and that the company’s non-sanctioned core activities remain unaffected by the license itself. This clarification is intended to reassure partners and customers that essential operations are not subject to the same restrictions that apply to other sectors of the business. In a statement, Megafon emphasized that its association with sanctions lists is undeserved and inconsistent with the company’s actual activities, stressing that its main business remains focused on non-sanctioned telecom services. The firm indicated its plan to challenge the designation and to continue informing partners with comprehensive disclosures and documents that outline its legitimate operations. The broader context involves a recent expansion of U.S. sanctions, which added more than 30 individuals and around 90 entities to the restrictions list. The newly targeted individuals and groups include high-profile figures and institutions connected to Russia’s government and key industries, such as Deputy Prime Minister Marat Khusnullin and former Transport Minister Yevgeny Dietrich, along with organizations like the Yunarmiya movement and various enterprises within the Russian nuclear sector. These developments illustrate a broader tightening of measures that extend beyond isolated individuals to encompass corporate entities linked to strategic sectors of the Russian economy. Throughout this period, the regulatory environment remained dynamic, with frequent updates to which entities and activities are subject to export controls and operational constraints. For Megafon, the core message remains that its primary business activities—delivering telecommunications services and related technologies—are positioned to continue under the protection of GL 65 where applicable, subject to compliance with all relevant licensing terms. Observers note that the company’s public responses aim to balance transparency with reassurance, underscoring the distinction between sanctioned and non-sanctioned operations as defined by OFAC. As the situation evolves, megafon’s strategy centers on maintaining open communication with partners and customers, ensuring that all necessary notices and documentation are readily available to explain the scope and limits of GL 65. Meanwhile, analysts and industry watchers stress the importance of clear regulatory interpretation, particularly when sanctions lists are updated and licenses are reissued or amended. The ongoing dialogue between Megafon and its international partners reflects a broader need for stable, predictable rules in cross-border telecommunications, especially in times of geopolitical tension and rapid policy shifts. In this context, the company’s emphasis on GL 65 serves to delineate permissible activities from restricted ones, helping to minimize disruption to essential services while staying aligned with the regulator’s framework. This nuanced position also highlights how multinational carriers navigate complex compliance landscapes where sanctions, licensing, and international trade laws intersect with everyday digital communications. The sector continues to watch closely as OFAC and other authorities assess risk and adjust allowances, with general licenses acting as crucial tools for maintaining continuity in global telecom networks. In summary, Megafon’s public communications outline a careful interpretation of GL 65, confirm the exclusion of communications services from broader sanctions for now, and reaffirm the company’s commitment to operating transparently and within legal channels. The evolving sanctions regime remains a focal point for investors, regulators, and partners alike, calling for ongoing diligence and timely updates to licensing conditions and compliance practices. Marked references to OFAC’s General License No. 65 and related regulatory guidance are acknowledged as the basis for Megafon’s current authorization to conduct specified telecommunications activities while remaining mindful of the broader sanctions environment and the potential for future changes.