The United States has the International Emergency Economic Powers Act (IEEPA), which allows for severe penalties for evading sanctions, including fines in the tens of millions of dollars. In addition, there are active Ukrainian reality specialized agencies, such as the Office of Foreign Assets Control (OFAC), which not only monitors sanctions implementation but also regularly updates lists of sanctioned individuals.
In the European Union, a transparency approach is key:
All transactions with sanctioned persons are subject to strict monitoring. Prior approval mechanisms for transactions are also being introduced to eliminate the possibility of fictitious deals. In Germany, for zalo data example, violation of sanctions legislation can lead not only to huge fines, but also to the confiscation of assets or the complete liquidation of the company.
The experience of the United Kingdom, where the so-called Magnitsky Act is in force, is particularly Ukrainian reality interesting. It not only defines liability for violating sanctions, but also obliges companies to prove that they did not have malicious intent in dealings with sanctioned individuals.
Faced with massive violations of the sanctions regime, Ukraine is taking a step forward by proposing a bill introduced by the President of Ukraine under No. 12406 , which introduces criminal liability for circumvention of sanctions. Its novelty lies in creating a differentiated approach to liability: for both individuals and legal entities.
It is especially important to set the liability threshold at 100 tax-free should your company permanently adopt remote work? minimum incomes. This will allow us to focus efforts on significant violations, without wasting resources on trifles. But will this be enough?
Problems that need to be solved
The new bill is a step forward, but it is only the beginning. Implementing an effective system of sanctions enforcement requires a comprehensive approach:
Synergy between authorities. Success is only possible with close cooperation au emai list between all state structures. Today, these processes are often dispersed, which makes it difficult to prove violations.
Technical tools. Monitoring transactions requires the implementation of digital platforms that automatically analyze transactions and identify connections between sanctioned individuals.