Microsoft to pay $3.3M to settle sanctions, export control violations


Microsoft will pay more than $3.3 million to settle charges from two federal agencies its subsidiaries violated sanctions laws and export controls across their dealings in four sanctioned countries and Ukraine’s Crimea region, which is under Russian control.

The Treasury Department’s Office of Foreign Assets Control (OFAC) and Commerce Department’s Bureau of Industry and Security (BIS) combined to penalize Microsoft for 1,339 apparent sanctions violations and seven transactions with entities under export control restrictions. The apparent violations included sales to prohibited jurisdictions in Cuba, Iran, Syria, Russia, and the Crimea region of Ukraine, the agencies said Thursday in separate press releases.

Microsoft self-reported the apparent violations to both agencies, cooperated with the investigations, and remediated issues that predated Russia’s 2022 invasion of Ukraine and the sanctions that followed. OFAC judged the lapses to be non-egregious.

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