U.S. Sanctions Target Indian Entities for Alleged Dual-Use Goods Supply to Russia
Across India, from Delhi and Uttar Pradesh to Bengaluru and Hyderabad, numerous individuals and businesses are now facing sanctions imposed by the U.S. Treasury Department. The sanctions stem from suspicions that these entities have been supplying dual-use goods—products that can serve both civilian and military purposes—to Russia.
An initial review of the sanctioned entities reveals that many are well-established companies with extensive histories in their respective industries. Their operations span diverse sectors, including aviation support for both small aircraft and helicopters, spare parts manufacturing, machine tool production, IT services, commodities trading, and business consultancy.
At the forefront of this list are Sudhir Kumar and Vivek Kumar Mishra, directors of Ascend Aviation, located near New Delhi International Airport. The company is involved in supplying aircraft consumables, ground support equipment, and spare parts.
Another entity under scrutiny is Denvas Services Private Ltd, based in Rajouri Garden, Delhi. Allegedly managed by Russian nationals with links to defense procurement operations, Denvas is accused of facilitating Russia’s acquisition of U.S.-origin microelectronics for use in advanced weapon systems.
Significant Shipments Reported
Bengaluru-based Emsystech has come under fire for reportedly sending over 800 shipments of electronic components, including integrated circuits and tantalum capacitors, to a Russian company involved in producing control systems and radio-electronic products.
Lokesh Machines Limited, a prominent Hyderabad-based manufacturer founded in 1983, is also facing sanctions. The company, which exports CNC machines to countries such as Japan, Germany, and Russia, has been accused of working with Russian defense agent Alikhanov (also known as Dimitri Vladimirovich Alikhanov). Lokesh Machines, listed on the Bombay Stock Exchange and the National Stock Exchange, is one of India’s top five machine tool manufacturers.
Drone Supply Allegations
Innovio Ventures, based in Gurgaon, has been accused of sending over 200 shipments of electronic components, including integrated circuits and multilayer ceramic capacitors, to various Russian military entities, such as Testkomplekt. According to the U.S. Treasury Department, Innovio Ventures has supplied at least $4.5 million worth of electronic equipment, including drones, to Russia.
Additionally, RRG Engineering, also based in Hyderabad, has been implicated for shipping more than 100 electronic components to Russian company Arteks Limited. Shaurya Aeronautics Private Limited, located in New Delhi’s Green Park area, is accused of supplying a range of radar and remote control apparatus, including radio navigational aid systems and electrical switching equipment.
Other Key Sanctioned Entities
Khushbu Honing, located in Kolhapur, has been linked to supplying advanced machine tools to Unimatik, a Russian company known for producing computer numerical control machines. New Delhi’s KDG Engineering Pvt Ltd has also been sanctioned for allegedly providing dual-use technology to Russia.
These sanctions reflect ongoing concerns from the U.S. about the involvement of Indian companies in aiding Russia’s military capabilities, particularly in the context of the ongoing conflict in Ukraine.