The British Government is reportedly probing 37 UK-affiliated businesses for possible violations of Russian oil sanctions according to the BBC.
The unnamed businesses likely include maritime insurance firms and ship owners, operators and brokers. As of August, 37 companies were under investigation, while investigations into 15 other companies had already concluded.
No fines or prosecutions have been issued yet for the businesses under investigation. The sanctions on Russia include a ban on dealing with firms exporting Russian crude oil priced above $60 per barrel.
Some companies are suspected of circumventing the price cap by keeping the oil price at no more than $60 per barrel while charging higher fees for other services.
The UK employs a multi-faceted strategy regarding the import and shipping of Russian oil. UK trade sanctions ban the import of all oil and oil products originating from Russia.
The BBC's report is expected to increase pressure on OFSI and the UK government, which have already faced criticism for not effectively enforcing the UK sanctions regime.
As the UK government moves to close existing loopholes in the sanctions framework, UK businesses must remain vigilant about sanctions enforcement. Non-compliance with UK sanctions can lead to imprisonment, fines, or both. It is essential to take all necessary measures to ensure adherence to the sanctions regime and avoid severe consequences.
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