For foreign companies with Russia, Belarus or other Sanction reference is the German and European export control and sanctions law is no longer just a compliance issue. Who delivers goods, processes payments, organizes transport, provides technical support or as an intermediary occurs, can quickly become the focus of the investigating authorities. This is particularly true when doing business with Russia and Belarus, because the EU has extensiveexport bans, import bans, has issued service bans and financial sanctions; BAFA continually points out that the scope and content of the measures Depending on the country, goods, person and business, they are checked very carefully have to.
Why the topic is so dangerous for companies with a foreign connection
Many Companies underestimate the fact that sanctions and Export control violations do not only affect traditional exporters. The EU Dual-Use Regulation expressly covers not only this Export, but also brokerage, technical Support, transit and shipment of dual-use goods. At the same time, the monitors Customs administration ensures compliance with foreign trade law Restrictions not only on the movement of goods, but also on Services, capital and payment transactions. This allows In addition to the actual seller, also the managing director, Export managers, logisticians, brokers, freight forwarders or payment participants become criminally relevant.
What are typical sanctions violations in practice?
Special It is often about deliveries of prohibited or goods subject to authorization in order to do business with listed goods Persons or companies for unauthorized technical assistance or brokerage services as well as transactions that follow seem neutral on the outside, but are actually sanctioned intended to conceal end uses. BAFA describes for Russia expressly a broad system of restrictions that under other dual-use goods, high-tech goods, aircraft and space goods, luxury goods, certain industrial goods as well as various service bans. Also at Belarus has extensive export, import and Bans on services, including for dual-use goods, certain industrial and aviation goods as well as other sensitive items Product groups.
Not only direct exports are risky
On A common mistake in practice is that only the immediate Delivery to Russia or Belarus is problematic. Actually BAFA expressly warns against circumvention exports and has for Russia additional rules to prevent Sanctions evasionpublished. This is particularly important Art. 12g of the Russia Regulation: For certain goods must Companies agree on a clause in contracts with third countries, which requires re-export to Russia or use in Russia is prohibited by treaty. Anyone with third countries, Intermediaries or re-export structures work, move therefore quickly in a significantly increased criminal law Risk area.
Financial sanctions: Payments can also be criminally sensitive.
Sanctions law does not only apply to goods. The Deutsche Bundesbank is in Germany responsible for the implementation of financial sanctions, i.e. for Restrictions on capital and payment transactions. This The relevant leaflet from the Bundesbank emphasizes that are intended to prevent provision bans under financial sanctions law, that funds or economic resources are listed Persons or organizations directly or indirectly benefit. Therefore, payment releases, Account movements, loans, securities or economic Support for affiliated or controlled companies become relevant under criminal or fine law.
When does this become a criminal case?
Im German law results in a violation of export controls or sanctions Criminal proceedings very quickly if against immediate applicable EU sanctions regulations are violated. § 18 AWG provides for certain intentional violations EU sanctions include a prison sentence of up to three months five years ago. Not every error is automatically one crime; § 19 AWG also covers violations that are subject to fines, particularly in the case of negligent behavior or offenses that are designed as an administrative offense. For companies is It is therefore crucial to clarify early on whether the accusation is concrete Case in the area of criminal offense or administrative offense falls.
Who is liable in the company?
In In practice, the investigative interest is often not just directed against the company as such, but against those responsible People: managing directors, board members, Export control officers, sales managers or persons who initiated payments or delivery releases. Additionally can a fine against legal persons and associations of persons according to § 30 OWiG if management personnel have committed criminal or administrative offenses. That does Violations of sanctions for internationally active companies in particular sensitive because, in addition to personal criminal liability, there are also significant ones There is a risk of corporate sanctions.
Which Authorities are investigating?
Foreign trade criminal proceedings are often carried out in Germany by the customs authorities, especially main customs offices and customs investigation offices or accompanied. § 21 AWG expressly instructs the customs authorities Tasks and powers in investigations. At the same time, customs emphasizes generally, that the monitoring of foreign trade law Restrictions are one of its core tasks. For those affected This means that the case often does not begin with an indictment, but with requests for information, checks, seizures, Searches or confiscated documents.
What Is there anything else threatening other than a penalty or fine?
Besides Imprisonment or a fine often means confiscation space. § 20 AWG allows the confiscation of items which the crime or administrative offense relates to, as well as from Items used for its inspection or preparation were or were intended. In practice this can happen for companies be at least as economically burdensome as the criminal proceedings itself, for example if goods, proceeds, documents or other Assets are secured or confiscated.
When Should companies be particularly vigilant?
Special Constellations with intermediaries are critical Third countries, unclear end-use declarations, conspicuous route changes, hardly economical traceable re-export structures, payments via third parties or transactions in which the economic control of one company remains unclear. BAFA itself points out that for Russia both direct and indirect exports, various services and specific obligations to act are relevant to avoid circumvention exports. Who like that? Recognizing facts too late runs the risk of one Trade inquiry suddenly becomes a criminal investigation will.
Our legal advice
If your company does business with Russia, Belarus or other sanction-related or has already received mail from BAFA, Customs, public prosecutor's office or bank has received the matter be examined criminally at an early stage. Especially in Criminal export control law often decides right from the start whether a The process is classified as a manageable compliance case a stressful criminal procedure with personal risk for the person Management escalates. We are the right law firm for such proceedings because we work with criminal law experience, cross-border economic and payment matters securely Classify mandates with international relevance strategically and Defend in a practical way.