Section menu

Compliance and Enforcement

Key aspects of ensuring effective and responsible export controls are compliance and enforcement.

ECO's Compliance Unit

ECO’s Compliance team are responsible for visiting companies to check and audit their compliance with the terms of their Open Individual Licences and whichever Open General Licence they are using.
There are various reasons for a Compliance visit to take place. Principally:

• legal or statutory obligations as a result of the Export Control Act and associated Orders.
• assurance that exporters have appropriate systems and procedures in place.
• building relationships with exporters including receiving feedback and specific experiences.
• providing and increasing industry awareness and education.
• ensuring that companies have not exported goods or technology without an appropriate licence and that they have met all the licence terms and conditions.

Further information on Compliance visits are outlined in 2 essential documents:

Export control organisation: compliance visits explained (111KB)

The intention of this document is to demystify the process and allow companies to prepare fully so both sides can get maximum benefit from the visit. It explains:

• why compliance visits occur
• what happens before, during and after the visit
• some of the penalties that companies might face if they are found to be non-compliant.

Export Control Organisation: Compliance Code of Practice (120KB)

This document explains how companies and others can effectively comply with the law on strategic export controls.

Additional advice, tips and guidance is available in the:

Export Control Organisation compliance newsletter - issue 2: August 2009 (489KB)

Her Majesty’s Revenue and Customs (HMRC) and the Revenue and Customs Prosecution Office (RCPO)

All exporters should be aware that it is a criminal offence to export controlled goods without a licence.

It is the role of HMRC and the RCPO to investigate and prosecute companies for breaches in export control legislation.

Breaches or Reporting suspicious activities

Details of making a disclosure to HM Revenue and Customs are available if you find yourself in the situation of being in Breach of Export Control Legislation.  

Alternatively, if you have any information on the illegal export (or import) of goods (such military products) then contact HMRC's free, confidential Customs Hotline.

Prosecution Cases

The risks of exporting without a licence are highlighted in a number of successful prosecutions of companies and individuals. For instance the cases of Mehrdad Salashoor and John Knight, who were both fined and jailed for illegally exporting with export control licences. Find out more by viewing the Export Control Issues - Press Articles.

Exporter Responsibilities

Export Control is very much a two way process as outlined by ECO's Service and Performance Code which details the Government's commitments to exporters and what is expected from exporters.

Exporting companies are responsible for:

• ensuring that their goods fully comply with all legal requirements - that are using the correct licences and adhere to all terms and conditions
• keeping updated with any changes or amendments in terms of licences, legislation including sanctions and embargoes in current force. (See the latest Notices to Exporters)
• ensuring that they have adequate compliance procedures in place including keeping appropriate records, having clear organisational lines of responsibility for export controls and ensuring all staff are adequately trained and aware of their responsibilities.The Compliance Code of Practice (link above) can help with this

ECO works in consultation with a range of stakeholders, including NGOs and industry to ensure that export control legislation is appropriate and achievable.

Export Control Organisation

Updated: 6 August 2009