What are the penalties for non-compliance ?
Under the EAR, criminal penalties for knowing violations include: (1) fines of five times the value of the exports involved or $50,000, whichever is greater; (2) imprisonment for up to five years, or (3) both. Willful violations are those violations that occur with the knowledge that the export s involved are intended for or will be used to benefit a controlled country or any country to which exports are controlled for non-U.S. policy or military intelligence gathering purposes. The penalties for willful violations include fines of up to $1 million per violation for corporations; for individuals, the penalties include fines of up to $250,000 per violation and up to 10 years imprisonment, or both. On the administrative side, violations also may result in the revocation of export licenses, denial of export privileges and/or exclusion from practice before BIS. The denial of export privileges is the only penalty that the US can impose on foreign companies.
