OFSI has published its Annual Report for 2017-2018. In it OFSI states that they received 122 reports of suspected breaches of financial sanctions with a reported value of £1.35 billion.
OFSI has also stated that it expects to levy its first fines during 2018-2019 and that the “majority of cases… will be resolved by enforcement activity short of a penalty”.
The Norwegian Foreign Ministry has confirmed that an investigation has been commenced into alleged exports of titanium ore to Crimea by the Norwegian company Titania Kronos.
The allegation relates to exports to Russia onboard to HHL Mississippi which were then directed to Crimea.
An investigation has been initiated by the Paris High Court in relation to sales of intelligence and surveillance equipment to Egypt by Nexa Technologies.
The investigation follows charges brought filed by two French activist groups – the Foundation Internationale des Ligues Droits de L’homme and the Ligue Droits de L’Homme – with the Crimes Against Humanity division of the High Court.
The French authorities have charged former Lafarge-Holcim CEOs, Eric Olsen and Bruno Lafont as well former deputy managing director Christian Herrault, along with 5 other individuals on suspicion of making payments in breach of EU sanctions to terrorist groups in Syria, and crimes against humanity.
The Dutch Public Prosecution Service has obtained a criminal fine of €50,000 against an unnamed Dutch freight solutions company.
The company had sought to ship radar equipment for Sukhoi jet fighters from Malaysia to Russia. The consignment was intercepted at Schiphol Airport. The sale was in breach of both European export controls, as the products were included on the EU’s Military List, and in breach of Russian sanctions which would have prohibited the granting of an export licence.
No licence had been applied for.
An individual was acquitted of a related offence.
The French authorities have conducted raids on the Paris offices of Lafarge-Holcim as part of the ongoing investigation into payments alleged to have been made in breach of the EU’s terrorist sanctions.
Lafarge-Holcim has confirmed it is cooperating with the investigation.
In 2015 the Dutch National Bank had imposed a financial penalty of €125,000 on an unnamed payment services provider for failings in relation to sanctions and PEP screening as part of a review by the bank.
The payment services provider appealed the decision.
On appeal to the District Court of Rotterdam the penalty was upheld but the fine reduced to €100,000.
The National Bank had originally calculated the fine as €550,000 which was then reduced due to the financial condition and size of the defendant.
A prosecution in relation to the export of valves for use in the Iranian nuclear sector which has been ongoing since 2014 has now been referred to the German Federal Court.
The prosecution of three individuals, named only as Bernd Gehrad L., René L. and Ralf C, relates to the export of 51 specialized valves to Iran between 2010 and 2011. The value of the valves was approximately €1 million.
The case has been sent to the Federal Court after a court in Berlin had ruled that the penalties being sought were unconstitutional.
It has been reported that the Dutch International Development minister has ordered an investigation into the alleged involvement of two Dutch companies, Dematec Equipment and Biljard Hydrauliek, in providing equipment for the building of the Kerch Strait Bridge designed to join Russia and Crimea.
The allegations, if proven, would be a breach of the EU’s Crimean sanctions.
