Daily Management Review

Amazon to pay $ 134.5 thousand for violation of sanctions against Crimea, Iran and Syria


Amazon, the world's largest online retailer, will pay a fine of $ 134,523 to resolve claims by US authorities regarding a company’s violation of a number of sanctions programs. This is stated in a message of OFAC (Office of Foreign Assets Control, a division of the US Department of the Treasury responsible for sanctions enforcement).

OFAC notes that "due to shortcomings in Amazon.com's automated sanctions tracking system, the company has delivered goods and services to OFAC sanctioned customers in regions or countries subject to sanctions, including Crimea, Iran, and Syria, and also to persons who work in foreign missions of states under US sanctions. "

Between November 2011 and October 2018, individuals located in the Crimea, Iran, and Syria placed orders for the purchase of consumer goods and services on the Amazon.com platform, and the transaction details clearly showed that delivery would be carried out to regions under US sanctions, the regulator said in a statement.

Amazon.com also accepted and processed orders from people located or working in foreign missions of Cuba, Iran, North Korea, Sudan, and Syria, for which sanctions also apply.

The total amount of transactions, taking into account deliveries to individuals under various OFAC sanctions, amounted to about $ 269 thousand.

Taking into account the fact that Amazon voluntarily notified the regulator of a number of violations, OFAC did not recover the maximum fine from it under the current legislation, but decided to limit the sum to half the amount of transactions concluded with violations of sanctions programs.

source: bloomberg.com