India may Attract Sanctions Over $5bn S-400 Deal with Russia
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CAATSA may be Slapped on South Asia
CAATSA is a tough US law which authorises
the administration to impose sanctions on countries that purchase major defence
hardware from Russia in response to Russia's annexation of Crimea in 2014 and
its alleged meddling in the 2016 US presidential elections.
US President Joe Biden will decide whether to apply or
waive sanctions on India, one of America's key partners, under the CAATSA law
for its purchase of the S-400 missile defence system from Russia, a senior
administration official has told lawmakers.
The US administration is required under a domestic law,
Countering America's Adversaries through Sanctions Act (CAATSA) to impose
sanctions on any country that has significant transactions with Iran, North
Korea or Russia.
CAATSA is a tough US law which authorises
the administration to impose sanctions on countries that purchase major defence
hardware from Russia in response to Russia's annexation of Crimea in 2014 and
its alleged meddling in the 2016 US presidential elections.
Responding to a question on possible CAATSA sanctions on
India, Donald Lu, Assistant Secretary of State for South and Central Asia told
members of the Senate Foreign Relations Subcommittee on the Near East, South
Asia, Central Asia, and Counter-terrorism on Wednesday that it was for the
President Biden to decide whether to apply or waive sanctions on India.
"I can assure you that the administration will
follow the CAATSA law and fully implement that law and will consult with
Congress as we move forward with any of them. What unfortunately I am not able
to say is to prejudge the decisions of the President or the (Secretary of
State) on the waiver issue or on the sanctions issue, or whether Russia's
invasion of Ukraine will bear on that decision," he said.
Mr Lu said that the Biden administration is yet to decide
on applying sanctions on India under CAATSA.
"India is a really important security partner of
ours now. And that we value moving forward that partnership and I hope that
part of what happens with the extreme criticism that Russia has faced is that
India will find it's now time to further distances," Mr
Lu said.
The senior American diplomat said it is going to be very
hard for any country to buy major weapon systems from Russia because of the
sweeping sanctions now placed on Russian banks.
"What we've seen from India in just the last few
weeks, is the cancellation of MiG 29 orders, Russian
helicopter orders and anti-tank weapon orders," Mr
Lu said.
Mr Lu's remarks came as India faced flak from US lawmakers,
both Republicans and Democrats for choosing to abstain from a UN vote on
Wednesday to rebuke Russia's invasion of Ukraine.
A total of 141 nations voted in favour
of the move condemning Russia's invasion of Ukraine and five nations were
against it, with 35 countries, including India, abstaining.
The UN General Assembly resolution was similar to the one
circulated in the 15-nation Security Council last Friday, on which also India
had abstained.
The UN Security Council resolution, which received 11
votes in favour and three abstentions, was blocked
after permanent member Russia exercised its veto.
In October 2018, India had signed a USD 5 billion deal
with Russia to buy five units of the S-400 air defence missile systems, despite
a warning from the then Trump administration that going ahead with the contract
may invite US sanctions.
The US has already imposed sanctions on Turkey under the
CAATSA for the purchase of a batch of S-400 missile defence systems from
Russia.
Following the US sanctions on Turkey over the procurement
of S-400 missile systems, there were apprehensions that Washington may impose
similar punitive measures on India.
Russia has been one of India's key major suppliers of arms
and ammunition.