Penalties for Export Violations

 General Overview

Generally, any person or entity that brokers, exports, or attempts to export a controlled item without prior authorization, or in violation of the terms of a license, are subject to penalties. Violators may incur both criminal and civil penalties.

ITAR Violations

The Arms Export Controls Act (AECA) and the International Traffic in Arms Regulation (ITAR) provide that willful violations of the defense controls can be fined up to $1,000,000 per violation, or ten years of imprisonment, or both. In addition, the Secretary of State may assess civil penalties, which may not exceed $500,000 per violation. The civil penalties may be imposed either in addition to, or in lieu of, any other liability or penalty.

EAR and Anti-Boycott Violations

Similar to the ITAR, violations of the Export Administration Regulation (EAR) are subject to both criminal and administrative penalties.  Fines for export violations, including anti-boycott violations, can reach up to $1,000,000 per violation in criminal cases, and $250,000 per violation in most administrative cases.  In addition, criminal violators may be sentenced to prison time up to 20 years and administrative penalties may include the denial of export privileges.

OFAC Violations

Although potential penalties for violations of U.S. export laws vary depending on the country and material involved, an exporter may be subject to a maximum civil penalty of $250,000 per violation under the Office of Foreign Assets Control regulation.

Detecting and reporting violations

Each KU employee has the responsibility to report possible violations of United States export control laws or regulations. Suspected violations should be reported by one of the following methods:

•    Contact the Office of Export Compliance at  or (785) 864-4273; or

•    Use KU’s Compliance hotline: Dial toll-free, within the United States, Guam, Puerto Rico and Canada: 844-420-9065

Potential violations of United States export control laws or regulations will be investigated by an Empowered Official or designee, to the extent deemed necessary. The Empowered Official or designee, will collaborate with appropriate parties to determine reporting requirements and corrective actions needed for noncompliance with export control laws and regulations.

Disciplinary Actions

There are severe institutional and individual sanctions for violations of export controls laws, including the loss of research funding, loss of export privileges, and civil and criminal penalties, including imprisonment. Additionally, employees and students may be subject to disciplinary action, up to and including termination, per KU Policies.