PRESIDENTIAL DECREE OF THE RUSSIAN FEDERATION

of May 4, 2022 No. 254

About temporary procedure for execution of financial liabilities in the sphere of the corporate relations before some foreign creditors

In addition to the measures provided by presidential decrees of the Russian Federation of February 28, 2022 No. 79 "About application of special economic measures in connection with unfriendly actions of the United States of America and the foreign states and the international organizations which adjoined them" of March 1, 2022 No. 81 "About additional temporary measures of economic nature for ensuring financial stability of the Russian Federation", of March 5, 2022 No. 95 "About temporary procedure for obligation fulfillment before some foreign creditors", of March 18, 2022 No. 126 "About additional temporary measures of economic nature for ensuring financial stability of the Russian Federation in the sphere of currency control", of March 31, 2022 No. 172 "About special procedure for execution by foreign buyers of obligations to the Russian suppliers of natural gas" and of April 1, 2022 No. 179 "About temporary procedure for execution of financial liabilities in the sphere of transport before some foreign creditors", I decide:

1. Establish temporary procedure for obligation fulfillment on payment of profit of limited liability companies, economic partnerships, the production cooperatives which are residents (further also - residents), to the members of such societies, partnerships, cooperatives who are the foreign persons connected with foreign states which make concerning the Russian Federation of the Russian legal entities and physical persons unfriendly actions (including if such foreign persons have nationality of these states, the place of their registration, the place of preferential conducting economic activity by them or the place of preferential extraction by them of profit on activities are these states), or persons who are under control of the specified foreign persons, irrespective of the place of their registration (except as specified, if the place of their registration is the Russian Federation) or places of preferential conducting economic activity by them (further - foreign creditors). In case of decision making about profit distribution of residents its payment to foreign creditors is performed according to Items 2 - 9 Presidential decrees of the Russian Federation of March 5, 2022 No. 95 "About temporary procedure for obligation fulfillment before some foreign creditors".

2. Provide to the Central bank of the Russian Federation (concerning obligation fulfillment on payment of profit of the residents which are credit institutions and not credit financial credit institutions) and to the Ministry of Finance of the Russian Federation (concerning obligation fulfillment on payment of profit of other residents) powers to determine other procedure for obligation fulfillment by payment of profit of residents to foreign creditors.

3. Confer powers on issue of permissions to obligation fulfillment on payment of profit of residents to foreign creditors without observance of the procedure provided by this Decree:

a) To Central Bank of the Russian Federation - concerning the residents which are credit institutions and not credit financial credit institutions;

b) To the Ministry of Finance of the Russian Federation in coordination with the Central bank of the Russian Federation - concerning other residents.

4. For the purpose of application of the subitem "an" of Item 1 of the Presidential decree of the Russian Federation of March 1, 2022 "About additional temporary measures of economic nature for ensuring financial stability of the Russian Federation" and the Presidential decree of the Russian Federation of March 5, 2022 No. 95 "About temporary procedure for obligation fulfillment before some foreign creditors" the foreign persons connected with foreign states which make concerning the Russian Federation, the Russian legal entities and physical persons unfriendly actions (further - the foreign states making unfriendly actions) are not recognized to No. 81:

a) persons which are under control of legal entities or physical persons whose personal law is the right of the foreign state which is not relating to the foreign states making unfriendly actions provided that such control is established till March 1, 2022;

b) persons which are under control of the foreign state which is not relating to the foreign states making unfriendly actions provided that such control is established till March 1, 2022.

5. For the purpose of application of the Presidential decree of the Russian Federation of March 1, 2022 No. 81 the procedure (execution) of transactions (transactions) provided by this Decree does not expatiate "On additional temporary measures of economic nature for ensuring financial stability of the Russian Federation":

a) on transactions (transactions) involving emergence of the property right to the real estate acquired by citizens of the foreign states making unfriendly actions;

b) on the transactions directed to alienation of real estate by citizens of the foreign states making unfriendly actions provided that carrying out payment under such transactions is performed with use of the account of type "C" which mode is set according to Item 5 of the Presidential decree of the Russian Federation of March 5, 2022 No. 95 "About temporary procedure for obligation fulfillment before some foreign creditors";

c) on the transactions made according to requirements of the Federal Law of December 30, 2004 No. 214-FZ "About participation in shared-equity construction of apartment houses and other real estate objects and about modification of some legal acts of the Russian Federation" provided that participants of shared-equity construction of apartment houses and (or) other real estate objects are the foreign persons connected with the foreign states making unfriendly actions, or the Russian legal entities who are under control of such foreign persons;

d) on transactions which involve emergence of the property right to rooms in the apartment houses and (or) other real estate objects constructed (created) and put into operation according to requirements of the Federal Law of December 30, 2004 No. 214-FZ "About participation in shared-equity construction of apartment houses and other real estate objects and about modification of some legal acts of the Russian Federation" and which party are the foreign persons connected with the foreign states making unfriendly actions, or the Russian legal entities who are under control of such foreign persons;

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