Apple fined £390,000 for violating UK sanctions on Russia
Apple fined £390,000 for violating UK sanctions on Russia
Apple fined £390,000 for violating UK sanctions on Russia
Apple's European subsidiary has been fined £390,000 for breaking UK sanctions against Russia. The penalty follows payments made to a Russian streaming service after the 2022 invasion of Ukraine. The company reported the breach itself but still faced a reduced fine. The Office of Financial Sanctions Implementation (OFSI) issued the penalty to Apple Distribution International (ADI). The firm transferred £635,618.75 to Okko, a Russian video platform, in two instalments during 2022. At the time, Okko was owned by Sberbank, Russia's largest bank, before being sold to a sanctioned entity.
The payments likely came from customer purchases of Okko's services through Apple's App Store. OFSI ruled that ADI had breached sanctions 'on the balance of probabilities'. Apple voluntarily disclosed the transactions in October 2022, which helped lower the penalty.
The original fine could have reached £1 million. However, OFSI reduced it due to Apple's cooperation and a new settlement scheme introduced last month. Apple stated it takes sanctions compliance 'extremely seriously' and has since strengthened its checks.
This case marks the first time OFSI has resolved a breach through the new settlement process. A separate fine of £465,000 was also issued in March 2025 to law firm Herbert Smith Freehills for similar violations. The £390,000 penalty stands as a warning to companies dealing with Russian entities. OFSI's decision highlights the risks of indirect transactions with sanctioned firms. Apple's improved compliance measures will now face closer scrutiny in future operations.