Tobacco Company Settles OFAC Charges for Violating North Korea Sanctions Regulations

A tobacco manufacturer registered in India settled OFAC charges for violating North Korea sanctions regulations.

According to OFAC, the manufacturer exported several tobacco shipments destined for a North Korean tobacco company through an intermediary and attempted to conceal the actual recipient by listing the intermediary as the purchaser, with China as the shipment destination. The manufacturer also requested payments to be made in U.S. dollars and accepted funds sent by another intermediary to a non-U.S. bank and an Indian branch of a U.S. bank.

As a result of these actions, the manufacturer was charged with violations of North Korea Sanctions Regulations Sections 510.206 ("Prohibited exportation or reexportation of goods, services, or technology to North Korea") and 510.211 ("Prohibited facilitation").

To settle the charges, the manufacturer agreed to a $332,500 monetary fine.