UK imposes record fine on company for violating sanctions on Russia
Photo: The UK issues largest-ever fine for violating Russia sanctions (Getty Images)
The United Kingdom has fined the British subsidiary of Sabre more than £1 million for violating sanctions against Russia. It is the largest penalty imposed in the country since sanctions were introduced following Russia's full-scale invasion of Ukraine, Bloomberg reports.
UK-based subsidiary Sabre Corp, which provides airline ticketing services, continued to give Russian carrier Ural Airlines access to its Global Distribution System for seven months after the airline was placed under sanctions in 2022.
The details were disclosed in a statement by the UK's Office of Financial Sanctions Implementation (OFSI).
How the sanctions were circumvented
After payments to its British bank were blocked due to sanctions, the company began looking for alternative ways to receive funds from the Russian airline.
According to OFSI, Sabre asked Ural Airlines to send a test payment to an account outside the British banking system, intending to use that route for future payments. The regulator classified the move as an attempt to circumvent sanctions.
Regulator's response
"The action underlines the UK’s increasingly robust enforcement of the Russia sanctions regime in support of Ukraine and sends clear compliance lessons to industry," OFSI said in a statement.
UK sanctions
Last month, the UK government imposed sanctions on cryptocurrency company HTX, which British authorities believe is part of the infrastructure Russia uses to evade restrictions.
According to the UK, $1.5 billion returned to the Kremlin via the HTX.
Overall, the United Kingdom has sanctioned more than 3,000 individuals, companies, and vessels under its Russia sanctions regime.
At last week's G7 summit, the UK announced a new package of sanctions against Russia, primarily targeting the shadow fleet and financial networks used to bypass restrictions.
In May, London also imposed sanctions on 35 individuals and entities involved in recruiting migrants to fight in Russia's war against Ukraine.
