UK Announces Sanctions Penalty for Telecommunications Provider

The United Kingdom Office of Financial Sanctions Implementation announced a penalty of about $180,000 on a telecommunication service provider for violations of European Union sanctions on Syria, according to an Oct. 28 notice. The company, Telia Carrier UK, “indirectly facilitated” phone calls to SyriaTel, an EU-sanctioned entity, OFSI said. The calls led to the “company repeatedly making funds and economic resources indirectly available to the designated entity over an extended period of time,” the notice said.

OFSI said it imposed the penalty because it was “satisfied” that Telia Carrier UK knew or “had reasonable cause to suspect” that it was violating EU sanctions. During a “ministerial review” of the case, Telia Carrier provided OFSI with new information that “significantly reduced the assessed value of the breaches,” the notice said. Although the agency said the reviews are not “normally” the way “of introducing new material,” OFSI accepted the clarification “given the likely significant impact in this case.” Ultimately, Telia Carrier’s penalty was reduced from a $380,000 penalty issued in July to about $180,000.

OFSI said the case “illustrates that ‘economic resources’ can cover a wide variety of tangible and intangible resources and can be provided” both directly and indirectly. It also said companies need to recognize when they are committing violations and immediately stop the activities that may have led to them. Telia Carrier did not voluntarily disclose its violations, the notice said. OFSI said the penalty has been paid.