UK authorities have fined an Apple subsidiary over a sanctions breach
The sanctions watchdog concluded that due diligence gaps allowed transactions linked to Russian financial interests to pass through a UK-based account.
The UK has fined Apple Inc. subsidiary Apple Distribution International £390,000 for breaching sanctions linked to Russia. The penalty relates to payments routed through a UK bank to a Russian streaming platform.
The payments, totalling more than £635,000, were made to Okko from a UK-based account. The subsidiary, responsible for Apple product sales across Europe and the Middle East, instructed the transfers despite the platform’s ownership links to sanctioned entities.
The Office of Financial Sanctions Implementation found the funds were linked to Sberbank and a company later sanctioned after the 2022 Ukraine invasion. Payments were made shortly after those restrictions came into force.
Regulators said the firm had voluntarily disclosed the transactions and had not been aware of the sanctions breach at the time. Apple stated it follows all applicable laws and has strengthened its compliance procedures following the incident.
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