In an article written by Axinn Veltrop & Harkrider LLP partner Behnam Dayanim and published by IndustryWeek, Dayanim discussed how the U.S. government takes its sanctions and export laws very seriously. Dayanim acknowledged that in today’s market a company’s products may span the globe and posed two questions, “Do you know where your products end up? Why does it matter?”

Dayanim explained sanctions and export rules and provided insight into how global manufacturers can address the complex requirements. “First, understand what it is you ship and how heavily it is controlled under export rules,” Dayanim offered. He advised companies to create a screening process that includes destinations and parties involved in export transactions. If a violation is suspected, it’s important to immediately contact counsel, he said.

Dayanim used GWC Valve International, a California industrial valve manufacturer, as a case study. The company arranged for the manufacture of valves for customers in Iran, provided financial and technical services in support for sales and falsely represented that the valves would be used in the United Arab Emirates. After GWC and its chief executive officer David Meador pleaded guilty to criminal charges, the company paid nearly $1 million in fines and forfeitures and Meador was sentenced to 13 months in prison.

The article, titled “Where Are Your Products – and Why Does it Matter?” was published by IndustryWeek.com on June 28.