The United States Department of the Treasury’s Office of Foreign Assets Control reported that Microsoft Ireland and Microsoft Russia failed to control who purchased the company’s software and services through third-party partners. Some companies that bought software sold by Microsoft were among those under sanctions by the United States. That’s why Microsoft has been penalized.Penalty from the USA to Microsoft
In this context, Microsoft agreed to pay fines of over $3 million for selling software to sanctioned entities and individuals in Cuba, Iran, Syria, and Russia from 2012 to 2019. It was also revealed that a total of 1339 violations took place during this period and 94 percent of the violations were in Russia.
In fact, the penalty could have been much higher, but Microsoft’s goodwill may have prevented it. Because, according to the statement, it was Microsoft who discovered and investigated the violations and then reported them to the government. Microsoft also notified the US that employees who caused these violations were fired and made “significant” changes to increase the measures. “Microsoft takes export control and enforcement compliance very seriously, so after we learned of several employees’ scanning errors and violations, we voluntarily disclosed them to the appropriate authorities. We fully cooperated with the investigation and are pleased with the reconciliation,” said company spokesman David Cuddy. made statements. After Russia’s attack on Ukraine, the United States further increased the scope of sanctions and trade restrictions in 2022. Leading technology companies also decided to withdraw from the Russian market.
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