Extreme Networks settles OFAC export violations case for $1.53 million
U.S. sanctions enforcement action is targeting exports of networking equipment and related services to a blocked Russian defense manufacturer. The case covers nine shipments from the United States between September 2018 and March 2022 and results in a $1,529,685 settlement with Extreme Networks.
Highlights
- Extreme Networks will pay $1,529,685 to resolve OFAC-identified export violations involving networking equipment sold nine times to Russia's Avangard between September 2018 and March 2022.
- OFAC assessed the violations as both voluntarily self-disclosed and egregious, driving the settlement amount and signaling serious compliance failings despite self-reporting.
- The case heightens regulatory scrutiny for U.S. exporters and tech firms on end-user screening, beneficial ownership checks, and compliance with sanctions against Russian entities.
Settlement terms and violations timeline
As reported by the U.S. Department of the Treasury's Office of Foreign Assets Control, Extreme Networks, a North Carolina-headquartered cloud networking solutions provider, is agreeing to pay $1,529,685 to resolve apparent sanctions violations involving Joint Stock Company Moskovskiy Mashinostroitelniy Zavod Avangard.OFAC says Extreme exported networking equipment and related services on nine occasions from the United States to the Russian defense manufacturer between September 2018 and March 2022. The agency identifies Avangard as blocked by operation of law and majority owned by designated JSC Concern Almaz Antey.
Compliance and enforcement implications
The settlement amount reflects OFAC's determination that the apparent violations are voluntarily self-disclosed and egregious. That combination indicates the company disclosed the conduct itself, while the regulator still viewed the underlying activity as serious.The case adds to scrutiny on U.S. exporters and technology suppliers with exposure to sanctioned Russian entities, particularly where ownership links can trigger blocking restrictions even if a counterparty is not separately named in a transaction review. For networking and enterprise technology companies, the action underscores the compliance risks tied to end-user screening, beneficial ownership checks and controls over related services as well as hardware exports.
Our earlier article on Cohere’s planned acquisition of AI cybersecurity startup AISLE looked at how the company is expanding into enterprise security while deepening its European footprint through a Prague engineering hub. We noted that the deal would add AI-driven software vulnerability detection—building on AISLE’s research into new bugs and OpenSSL flaws—as Cohere scales offerings for enterprise and public-sector clients.
Latest Company News News
-
Afghanistan
-
Albania
-
Algeria
-
Angola
-
Argentina
-
Armenia
-
Australia
-
Austria
-
Azerbaijan
-
Bahamas
-
Bahrain
-
Bangladesh
-
Belarus
-
Belgium
-
Bolivia
-
Botswana
-
Brazil
-
Brunei
-
Bulgaria
-
Cambodia
-
Cameroon
-
Canada
-
Chile
-
China
-
Colombia
-
Congo
-
Costa Rica
-
Cote d'Ivoire
-
Croatia
-
Cuba
-
Cyprus
-
Czechia
-
DR Congo
-
Denmark
-
Dominican Republic
-
Ecuador
-
Egypt
-
El Salvador
-
Estonia
-
Eswatini
-
Ethiopia
-
Finland
-
France
-
Georgia
-
Germany
-
Ghana
-
Greece
-
Haiti
-
Hong Kong
-
Hungary
-
India
-
Indonesia
-
Iran, Islamic republic
-
Iraq
-
Ireland
-
Israel
-
Italy
-
Jamaica
-
Japan
-
Jordan
-
Kazakhstan
-
Kenya
-
Korea
-
Kuwait
-
Kyrgyzstan
-
Laos
-
Latvia
-
Lebanon
-
Lesotho
-
Libya
-
Lithuania
-
Luxembourg
-
Madagascar
-
Malaysia
-
Malta
-
Mauritius
-
Mexico
-
Moldova
-
Mongolia
-
Montenegro
-
Morocco
-
Mozambique
-
Myanmar
-
Namibia
-
Nepal
-
Netherlands
-
New Zealand
-
Nigeria
-
North Macedonia
-
Norway
-
Oman
-
Pakistan
-
Palestine
-
Panama
-
Papua New Guinea
-
Paraguay
-
Peru
-
Philippines
-
Poland
-
Portugal
-
Puerto Rico
-
Qatar
-
Reunion
-
Romania
-
Rwanda
-
Saudi Arabia
-
Serbia
-
Singapore
-
Slovakia
-
Slovenia
-
Somalia
-
South Africa
-
Spain
-
Sri Lanka
-
Sweden
-
Switzerland
-
Syria
-
Taiwan
-
Tajikistan
-
Tanzania
-
Thailand
-
Trinidad and Tobago
-
Tunisia
-
Turkey
-
UAE
-
Uganda
-
Ukraine
-
United Kingdom
-
United States
-
Uruguay
-
Uzbekistan
-
Venezuela
-
Vietnam
-
Yemen
-
Zambia
-
Zimbabwe
- Forex
- Crypto
