California Tool Builder Fined $2.5 Million for Compliance Failures

Posted 1/17/25

The Department of Commerce’s Bureau of Industry and Security and the Treasury’s Office of Foreign Assets Control imposed approximately $2.5 million in combined civil penalties against a California machine tool builder for permitting authorized distributors to sell equipment and repair parts to sanctioned entities in China and Russia,

“Today’s coordinated resolution with OFAC demonstrates our resolve to hold accountable companies that do not put in place effective compliance programs to prevent exports to Entity Listed companies,” said Acting Assistant Secretary for Export Enforcement Kevin J. Kurland.

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