A SCOTTISH energy firm has been fined more than £500,000 for breaching Russia sanctions regulations.
Petrofac Facilities Management Limited (PFML), based in Aberdeen, has paid a £569,157 compound settlement for the breaches, which occurred in 2022 and 2023 while the company was winding down its operations in Russia.
It is the first company to be publicly named by HMRC for accepting such a penalty.
Petrofac supplied sanctioned industrial goods to individuals connected to Russia, and provided technical assistance relating to those goods.
The first offence was for making the sanctioned goods available to a person connected to Russia.
The second offence was for making available sanctioned goods for use in Russia.
HMRC was made aware of the breaches after the company voluntarily disclosed the incidents.
Petrofac is understood to have fully cooperated with the investigation.
The firm was on the brink of collapse last year when the company, which has its UK headquarters in Aberdeen, filed for administration in October.
But thousands of jobs were saved after part of the firm was bought out of administration by American company CB&I.
Edwige Hill, deputy director in HMRC’s Fraud Investigation Service, said: "Non-compliance with Russia sanctions is a serious offence and together with our international partners, the UK Government has implemented the most severe package of sanctions ever imposed on a major economy.
"Naming those involved brings us into line with other enforcement partners whilst sending a clear message on the consequences of breaching sanctions rules."
Companies which breach sanctions may be subject to a range of enforcement actions by HMRC, including large financial penalties or referral for criminal prosecution.
But by reaching a compound settlement, Petrofac will not need to take part in legal proceedings.
The firm is believed to employ around 3000 people, 2000 of which are based in Aberdeen.
