Airbus Under UK Criminal Probe Over Potential Export Control Breach

The company said it’s fully cooperating with authorities after HMRC launched an investigation following an export control audit in May 2022.
Airbus Under UK Criminal Probe Over Potential Export Control Breach
A logo of Airbus at Airbus headquarters in Blagnac near Toulouse, France, on Feb. 14, 2019. Regis Duvignau/Reuters
Lily Zhou
Updated:
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Airbus has been under criminal investigation in the UK over potential breaches of export control rules, the aerospace and defence company has confirmed.

The investigation was launched by HM Revenue and Customs (HMRC) following an an audit by a Department for Business and Trade team responsible for the export controls and licensing for military and dual-use items.

HMRC has declined to comment on any investigations.

The revelation first emerged on Tuesday in Airbus’s half-year financial report, in which the company said it was “fully cooperating with an investigation by the Revenue and Customs Authority of the United Kingdom into possible violations of the United Kingdom’s export control rules.”

Airbus told The Epoch Times by email, “Airbus confirms it was notified that a criminal investigation had been launched by HM Revenue and Customs into potential export control offences involving several Airbus entities in the UK, following an audit by the UK Export Control Joint Unit (ECJU) in May 2022.”

The statement said Airbus is “working with all relevant authorities to ensure full remediation of all identified deficiencies.”

“The company is fully and voluntarily cooperating in the investigation and does not expect the matter to have a material financial impact,” it added.

An HMRC spokesperson told The Epoch Times via email, “We neither confirm nor deny investigations and we cannot comment on identifiable individuals or businesses.”

The global aircraft manufacturer boasts its status in the UK as the largest civil aerospace company, civil aerospace exporter, space satellite company, and supplier of large aircraft to the Royal Air Force.

As of June 30, the company employed nearly 155,000 people across its three divisions in the UK—Airbus, Airbus Helicopters, and Airbus Defence and Space—according to its financial statements.

The revelation of an HMRC probe comes around nine months after the U.S. State Department formally lifted the threat of charges over alleged violations of export rules in the United States.

In January 2020, Airbus reached a trio of deferred prosecution agreements and agreed to pay record fines totalling 3.6 billion euros ($3.9 billion or £3.1 billion) following broad investigations in Britain, France, and the United States into allegations of corruption.
As part of the settlements, Airbus agreed to pay $10 million (£7.8 million) and set up a three-year monitoring plan to resolve findings by the State Department that Airbus had violated U.S. International Traffic in Arms Regulations.

Airbus also agreed to appoint an export control compliance officer.

Reuters contributed to this report.
Lily Zhou
Lily Zhou
Author
Lily Zhou is an Ireland-based reporter covering China news for The Epoch Times.
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