The U.S. Department of the Treasury's Office of Foreign Assets Control (OFAC) has announced sanctions against an individual and an entity linked to a corrupt network in Bosnia and Herzegovina (BiH). This network is associated with Igor Dodik, son of Milorad Dodik, President of Republika Srpska (RS), one of BiH's two entities. The actions are part of efforts to counter attempts to evade U.S. sanctions.
Bradley T. Smith, Acting Under Secretary of the Treasury for Terrorism and Financial Intelligence, stated: "RS President Milorad Dodik, his associates, and his enablers continue to use their privileged position to erode public confidence in the regional peace frameworks and institutions that have brought stability and security to Bosnia and Herzegovina." He emphasized the United States' commitment to exposing these networks.
The sanctions build on previous measures against the Dodiks by highlighting Igor's attempts to bypass U.S. restrictions. The focus is on individuals enabling activities that hinder democratic progress in RS.
Milorad Dodik was designated on January 5, 2022, under Executive Order (E.O.) 14033 for obstructing the Dayton Peace Agreement (DPA) and engaging in corrupt activities. His children, Igor and Gorica Dodik, were also designated on October 20, 2023.
Efforts by the Dodiks to accumulate wealth led OFAC to designate key parts of their network on October 20, 2023, and June 18, 2024. These include several entities under Igor's control. In response to these designations, the network has restructured corporate entities to obscure control.
Igor oversees a network directing RS government contracts through private companies while using nominal owners for obfuscation. Vladimir Perisic serves as general director of Prointer ITSS (Prointer), which was designated by OFAC on June 18, 2024. Perisic executed business decisions based on Igor's instructions.
Following Kaldera Company's designation on June 18, 2024, Igor instructed Milenko Cicic to establish Elpring d.o.o. Laktasi as a replacement for Kaldera. Cicic transferred all assets from Kaldera to Elpring with Igor's approval.
Perisic and Elpring are designated under E.O. 14033 for being controlled by or acting on behalf of Igor.
The sanctions block all property interests in the U.S., requiring reporting to OFAC. Transactions involving designated persons are prohibited unless authorized by OFAC licenses or exemptions.
Non-U.S. persons must avoid causing violations of U.S. sanctions or engaging in evasion conduct.
Financial institutions dealing with sanctioned entities risk exposure or enforcement action.
OFAC stresses that its goal is not punishment but behavioral change through its sanctions program.
For more information about today's sanctioned individuals and entities or removal processes from OFAC lists refer directly via provided links.
